Press Releases

23 February 2004

ENTERPRISE FINANCE EUROPE AND BANK OF IRELAND BACK UK'S FASTEST GROWING GAS FIRE MANUFACTURER

CFM Europe, a leading UK manufacturer of high quality gas and electric fires, has been bought by Michael Miller, the company’s managing director from its Canadian parent company CFM Corporation with backing from asset based lender Enterprise Finance Europe (EFE) and Bank of Ireland.

Established in 1988, CFM employs over 100 staff at its modern, purpose-built premises on Gordon Banks Drive at Trentham Lakes North in Stoke-on-Trent and has annual sales of circa £13 million. The company has become the fastest-growing gas fire manufacturer in the UK and its three key consumer brands – Kinder, Flavel and Vermont – cover a large range of heating-related products.

CFM Corporation, a large Canadian manufacturer of home heating appliances, was itself the subject of a private equity-backed MBO in 2005.

Enterprise Finance Europe and Bank of Ireland provided an integrated finance package, combining a full asset based lending suite and commercial mortgage. They were introduced to the deal by Christian Mayo of KPMG Corporate Finance Manchester, which provided corporate finance advice.

Managing director Michael Miller said: “CFM has firmly established itself as a market leader in the UK and is recognised for the quality of design and innovation and reliability of our products. The deal will allow us to pursue continued growth in the UK and Europe and take the business to the next stage of its development.”

Peadar O’Reilly, director with EFE in Manchester, said: “EFE is delighted to be backing a very capable company with a great range of innovative products and brands and a clear strategic vision for the continued success of the business.”

Simon Carrier, director with Bank of Ireland in Manchester, added: "The deal had some interesting dynamics given its cross-border nature and was carried out within tight deadlines. The seamless completion of the transaction with our colleagues at EFE illustrates our combined commercial appetite and our ability to deliver in the market."

Christian Mayo corporate finance partner with KPMG said: "This was a great deal for all parties concerned and we wish Mike all the best. The flexibility and responsiveness of EFE’s approach ensured a successful and timely completion and has provided a sound financing platform for the future growth of the business."

Halliwells provided legal advice to EFE and Bank of Ireland while law firm Hacking Ashton and accountants Bentley Jennison advised Mike Miller

back to top >>