SMS, a Northampton-based provider of solutions for valuable mail to businesses, was purchased by Candover. TriVest has more than tripled the £1.3m original cost of investment, after its Matrix-backed MBO four years ago.
TriVest will also accrue a further £1.5m over the next three years, provided SMS renews a key contract. SMS currently commands a £46m turnover, with £5m profit.
Candover will combine SMS with newly delisted DX Services to form a larger mail group.
Since its foundation in 1991, SMS has attracted an impressive list of clients, including financial institutions, the passport office, high street banks and ticketing agencies.
The originally provided banks with secure delivery of credit cards – the concept has been expanded to cover sensitive documents for a range of industries.
Bob Henry, Matrix Investment Director, led the MBO of SMS and after a challenging start, where four of the original five-strong management team left within the first 18 months, the business has been overhauled.
A number of new contracts have been secured, with the company operating over 30 depots nationally and employing around 550 staff and couriers.
© Crimson Business Ltd 2006
