A year has passed since our Corporate team led by Tracy Evans, with support from Daniel Wilson in Private Client and Sean Halliwell in Banking advised owner Nick Brown on the sale of Nikwax, and sister brand Páramo Clothing to its employees by way of sale to an Employee Ownership Trust (“EOT”).
Nick Brown founded Nikwax in 1977 and Páramo Clothing was established 15 years later.
Nikwax is a renowned manufacturer of cleaning and aftercare products for the treatment of outdoor gear such as clothing, footwear, tents and many more. Nikwax products are sold in over 40 countries worldwide, have employees across three continents, and are stocked by leading high street retailers.
The sale to an EOT, attracted significant media attention and means Nikwax and Páramo (and wider group) are now indirectly owned by the employees; whom Nick trusts to continue to grow the business in line with the principles and values that have been upheld to date.
Tracy Evans, the lead advisor, commented:
“It was a pleasure to work with Nick and guide him through the process of a sale to an employee ownership trust. From the outset it was clear that protecting the interests of the employees and rewarding them for their service was the main motivator to the transaction. Such an incredible brand and a great outcome.”
Nick Brown commented:
“When it comes to the sale of a founder’s business it is important to remember that the founder and the business need separate legal representation. Of course, prior to the deal, the founder will not perceive the importance of this aspect since the business has always been theirs. EMW looked after my personal interests extremely well and scrutinised the contracts with exceptional attention to detail, leading to a more solid and safe agreement for both sides.”