The corporate team at purpose-led independent law firm Brabners has advised on the purchase of Lord Sugar’s stake in a multi-million-pound engineering and technology recruitment agency.
Based in Reading, Hernshead Group was established by Tom Johnson in 2019 and gained investment from Lord Sugar’s investment vehicle Amsvest.
It recently hit £3.5m turnover has been re-acquired through a management buyout by a corporate vehicle solely owned by Tom, which now owns 100 per cent of the company’s shares.
With clients including global automotive, aerospace and additive manufacturing companies, the company is set to expand its international presence as part of a new 10 year growth strategy.
Brabners provided legal support to Hernshead Group throughout the transaction process, including advising on the structure of the management buyout. The team was led by Mairead Platt, senior associate at Brabners’ Lancashire office, supported by trainee solicitor Adam Goadsby.
Tom Johnson, director and founder, Hernshead Group said: “This purchase marks another exciting milestone for Hernshead and myself, following our growth and expansion over the last six years both domestically and internationally.
“The investment and guidance from Lord Sugar has given us an incredibly strong footing to now go on and achieve our continued growth over the next 5 to 10 years.
“Transactions of this size and importance are always complex but we are fortunate to have been assisted superbly by Mairead and the team at Brabners who have helped make this a smooth process.”
Mairead Platt, senior associate said: “The strategic guidance from Lord Sugar which the company has gained from the investment has allowed Tom to develop Hernshead into one of the UK’s fastest-growing companies, recognised by the Fast Growth Index 2024.
“This transaction allows Lord Sugar to realise his investment, giving Tom the opportunity to lead Hernshead into a new phase of international growth.”
Business advisory and accountancy firm TC Group advised Hernshead on tax matters related to the transaction.
Lord Sugar added: “It has been a pleasure to be a part of Hernshead Group’s journey from its launch. Tom and the team have done a tremendous job in driving the business forward.
“They have created an exceptional reputation in the recruitment industry, and I am confident that under Tom’s leadership, the company will continue to thrive. I wish Hernshead Group and the entire team continued success as they move into their next phase of growth.”