Apr 10, 2009

Risk Capital Partners increases its exposure to the transport and traffic management sector

Risk Capital Partners’ portfolio company, APT Controls Group, has acquired SignPost Solutions Ltd (SPS)

– the largest manufacturer of traffic signposts in the UK and the industry’s leading player in Passive Safety structures (street furniture designed to reduce injuries arising from vehicle accidents)

APT Controls Group is the UK’s premier provider of vehicle access control systems for parking, traffic and security applications and the acquisition of SPS is seen as the first stage of a planned buy and build strategy with a focus specifically within the transport and traffic management sector.

“The two businesses are highly complementary,” says Luke Johnson, Chairman of RCP. “Both companies are market leaders in their respective fields, are financially strong and have a keen focus on customer service. Our original intentions with APT were to facilitate expansion as we believe this is a growth industry, and are delighted to have acquired SPS. We see the acquisition as a major opportunity for both companies and maintain our commitment to significantly grow the size of the business over the coming years.”

Certainly, the synergies between the two businesses played a key role in the decision to merge.

“Both APT and SPS already have a similar customer base and product range,” says Andrew Sampson, Chairman of APT Controls, “and share the same ambition to build a leading group of complementary businesses supplying infrastructure and services for the transport and traffic management sectors.

SPS’ Managing Director, Peter Moore, who will join the main Board of APT Controls, is similarly enthusiastic about the new partnership: “In many cases we are talking to the same customers and that provides a solid foundation for future growth,” he says.

Although now part of the APT Controls Group, SPS will retain both its brand and its key management and personnel. It will continue to operate independently from its two sites in the West Midlands. Other members of the APT Controls Group, which now has over 200 employees and combined sales of over £30 million, include APT Technologies, APT Street Services, APT Security Systems, and APT-SkiData.

RCP acquired a 45% stake in APT Controls Ltd in February 2007 and the group adopted a new investment strategy targeted towards acquisition led expansion.