Secondary Buyout | Private Equity Insights

What is a secondary buyout?

Businesses with existing private equity investment often benefit from the fresh approach of a new investor through a secondary buyout (SBO). You know how private equity works, but you’re not finished. And perhaps you’re looking for a different type of partnership, one with greater flexibility, a longer-term view and help to highlight new opportunities and avenues. It can also help the incumbent investor to realise the value of their investment.

How to choose the right private equity firm?

When considering bringing on board a new private equity partner, it’s important to select the right firm. Not only to provide the necessary funding to carry out the transaction, but also to offer guidance and support when it comes to the business’s future growth.

What makes LDC different as a secondary investor?

While many private equity firms reduce or pause new investment activity once a fund has been fully deployed and is approaching the end of its investment period, being part of Lloyds Banking Group means we don’t have to follow the usual fund cycle for deals, follow-on funding or exits.

LDC has supported businesses from a range of sectors over the past 40 years with an extensive number of secondary buyouts, many of which we have subsequently supported with follow-on investment to continue or kick-off their acquisitive growth journeys.

Siobhán Crowley, Medray

We were impressed by LDC’s track record of delivering flexible funding.”

Will Crandle, Horsefly

I was also looking for a genuine partner and I’ve found that in LDC.”

Carl Castledine, Away Resorts

It was the level and pace we could get funding to support our business ambitions.”

Watch the video

Choosing your next private equity partner

Hear from CEO Carl Castledine on the three reasons why he chose LDC as his next private equity backer including the unique way we are financially structured, the level and pace he could get follow-on funding and our shared passion!