MBO at leading set design and build business 4Wood TV and Film

Connection Capital, the specialist private client alternative investments business, has completed a £6.4 million investment in the management buyout (MBO) of 4Wood TV & Film Ltd, one of the UK’s leading creators of TV and film sets.

PKF Francis Clark supported Connection Capital on the transaction by providing a full suite of financial and tax due diligence, tax structuring and deal support services.

Cardiff-based 4Wood designs and builds sets for a host of blue-chip clients including the BBC, Sky, Netflix, Disney+, Universal and HBO, with its creations featuring in productions such as Doctor Who, Sex Education and A Discovery of Witches.

The PKF team members demonstrated their willingness to go the extra mile to support us through the transaction, adapting to changing timelines, working efficiently and collaboratively with the management team to minimise disruption to the business’s underlying operations, and bringing a commercial perspective

Sam Phillips, transaction services director at PKF Francis Clark in Bristol, said: “Having previously worked with Connection Capital on their investment in online beauty retailer Gorgeous Retail Group, it was great to support the team on another interesting deal. Our work helped to confirm the strong investment case Connection Capital had identified for its community of private investors.

“With its dominant share of the thriving high-end TV and film set production market in south Wales, 4Wood is well placed to capitalise on the growing demand driven by competition between TV, streaming and film companies. Following the MBO, we look forward to seeing the management team build on the success of the business to date with the backing of Connection Capital.”

PKF Francis Clark’s transaction support team also comprised Paul Crocker, Matt Pearce and Adam Keelty, with tax advice provided by Adam Kefford, Lisa Cruise and Callum West.

Miles Otway, partner at Connection Capital, said: “We were very pleased with the PKF teams who provided financial & tax due diligence and tax structuring advice on the MBO of 4Wood TV & Film.

“Throughout the process, the PKF team members demonstrated their willingness to go the extra mile to support us through the transaction, adapting to changing timelines, working efficiently and collaboratively with the management team to minimise disruption to the business’s underlying operations, and bringing a commercial perspective which is always incredibly valuable in a private equity process.

“PKF’s high quality and focussed reports added significant value to our transaction and process, and we look forward to working with them again in the future.”

The £9 million MBO of 4Wood was supported by a senior debt package from Virgin Money (Clydesdale Bank).

Read about more deals PKF Francis Clark has helped to make happen.