Capital for Colleagues, the investment vehicle focused on opportunities in the Employee Owned Business (‘EOB’) sector, is pleased to announce an important corporate development at its existing portfolio company, Cotswold Valves Limited (‘CVL’).
CVL, based at Stonehouse near Stroud, is a long-established supplier of specialist valves for a range of process industries, predominantly in the UK, including food and paper production, water and waste treatment. Capital for Colleagues invested GBP 200,000 in CVL in 2015 and currently owns 49% of that company’s issued ordinary share capital.
On 22 January 2018, CVL acquired the entire issued share capital of Flow Control Company Limited (‘FCCL’). FCCL operates in the same sector as CVL, but has greater scale. The Directors of Capital for Colleagues believe that the acquisition will give CVL the critical mass required to further expand and diversify its business, thereby enhancing the value of the Company’s equity investment in CVL.