Watersheds structure major merger deal

By Anita Jaynes on October 10, 2016

A firm of corporate finance specialists based in Swindon has structured a multi-million pound merger deal for a London fashion company.

Ladies coat manufacturer Monix, based in Bethnal Green, has joined forces with Shani Group Ltd in Watford thanks to negotiations led by Watersheds, based in the town’s Bath Road.

Monix wanted to merge with a competitor because it felt that by pooling production and manufacturing skills it would strengthen its business and become more influential with retailers.

Confidentiality is important in any merger, but this is particularly so in the fashion industry where work on next year’s clothing ranges is so sensitive.

Richard Buzzoni, director at Watersheds, said: “We decided to avoid the conventional methods of seeking bids for the business because that can be a slow process and can also generate a lot of rumours. So we approached a handful of competitors with a price and deal structure that the owners of Monix found attractive.

“We avoided much of the negotiation that usually takes months and invited people to complete within a few weeks. Soon it was down to two rivals, with Shani coming out on top.  Now Monix have a new partner.”

David Green, Monix managing director, said: “We are delighted to have worked with Watersheds. Their expertise undoubtedly helped to identify and complete the transaction in a timely and cost effective way.   The synergy with our new partners is excellent and myself and my partners are excited about the future prospects.”

Pictured above from left to right: Monix Managing Director David Green and Watershed’s Director Richard Buzzoni