Brompton Bicycle Limited
1 April 2008
NELLEN advises Brompton Bicycle Limited on its shareholder restructuring
Brompton Bicycle Limited, the leading UK fold-up bike manufacturer, was advised by NELLEN on the corporate law aspects of its shareholder restructuring and by the corporate finance advisors New Boathouse Capital Limited.
The restructuring was part of a succession plan designed to facilitate the reduction by Brompton’s founder, managing director and principal shareholder, Andrew Ritchie, of his shareholding.
The plan involved the buy-back by the Company of shares held by Andrew Ritchie and the sale of a proportion of his shares to existing shareholders (including staff) and new investors. At the same time existing shareholders were also given the opportunity to sell a proportion of their shares to existing shareholders and new investors.
A new executive management team was also appointed and a share options pool created for future awards.
Brompton has seen strong growth over the last seven years with sales and operating profits averaging 9% and 20% respectively. It has firmly established itself worldwide as a leading manufacturer of high quality fold-up bikes.