PORTFOLIO — Business Services

WHP

WHP is a leading provider of end-to-end services for the planning, design, acquisition, deployment, upgrade and maintenance of mobile network masts, antennae and base stations for all the major UK mobile operators.

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Key Facts

Initial investment: 05/05/2015

Sector – Business Services

Fund — Buyout Fund II

Status — Realised

Investment highlights

  • Supported management in completing two acquisitions which enabled further penetration into CTIL and developed the business’ consultancy services.
  • Strengthened management team through the appointment of an experience chairman, with extensive telecoms experience, and the appointment of a chief financial officer and operations director.
  • Supported the development of new products and services to the utilities sector and development of a full consultancy service.
  • Assisted with an IT systems upgrade to a full ERP system, helping to improve information provision across the business, particularly regarding contract profitability and revenue visibility.
  • Recapitalised the business through a refinance supporting future growth and acquisitions.
  • WHP’s profitability grew from circa £4m at the time of the secondary management buyout to circa £10m at exit.
  • Successfully exited via a tertiary management buy out backed by Equistone generating a 3x return.

Partnership Motivation

We were impressed with WHP’s ability to quickly develop its team and service offering to meet the demands of the rapidly expanding mobile telecoms market. WHP was well placed to benefit from further infrastructure investment from mobile operators due to consumers’ desire for more data and better connectivity.

With a customer base committed to further investment, new enhancements such as 5G, the introduction of new technologies and the potential merger and acquisition activity in the sector, the company was well placed for further growth.

“The UK telecoms market is performing strongly, with continued investment in networks. During this time, we have invested in our highly skilled team and infrastructure in order to deliver excellent quality, efficiency and value to our customers. Palatine has demonstrated an excellent understanding of our business and the sector and we would like to take this opportunity to thank them for the support they have provided..”

Rob Potter
WHP Group