On 24 April 2022, the acquisition of a 45% stake in hardware distributor Mengual by private equity firm Suma Capital was completed. Baker Tilly Corporate Finance advised Mengual on this transaction.
Carlos Mengual, majority shareholder, will remain in the family business to drive and lead the firm's growth. Supported by Suma Capital, inorganic growth will be pursued through acquisitions in new territories. acquisitions en nuevos territorios.
Vendor: Ferretería Mengual
Based in Granollers (Catalonia), Mengual was founded in 1971, and is run as a second generation family business by Carlos Mengual. The company specialises in the sale of wooden fittings for interior design and carpentry, a highly automated sector in which regional operators dominate. It has a portfolio of 9,000 customers and a catalogue of more than 18,000 references of the main brands in the sector, making it one of the leaders in its segment in Spain.
Mengual's growth in recent years has been largely due to its commitment to online sales, which now account for half of its turnover, and the opening of new branches in Barcelona and Cordoba.
Investor: Suma Capital
Barcelona-based Suma Capital is a private equity firm, which with this transaction is making its sixth investment from its fund for SMEs in traditional sectors, SC Growth Fund II. The fund aims to support the organic and inorganic growth plans of profitable companies by getting involved in strategic decision-making from the Board of Directors.
«Vemos un alto potencial de crecimiento en Mengual, apoyado en el buen posicionamiento de la compañía en el segmento profesional, los fundamentales sólidos del sector y las oportunidades inorgánicas identificadas. Estamos convencidos de que la compañía, bajo el liderazgo de Carlos Mengual y el apoyo de Suma Capital, se consolidará como el distribuidor de herrajes de madera líder en España.“
Pau Bermúdez-Cañete, partner of Suma Capital
BAKER TILLY CORPORATE FINANCE:
Baker Tilly has advised the owner of Mengual in the negotiations with the Suma Capital team. Alex Wendt, a partner specialising in the sector, led the team. Baker Tilly Corporate Finance has a dedicated Mergers & Acquisitions team and has consistently ranked in the top 10 of the global M&A market.
«Esta operación es una gran oportunidad para Mengual de acelerar el crecimiento orgánico así como potenciar el inorgánico en España.»
Alex Wendt, partner of Baker Tilly
Baker Tilly International's corporate finance services include advising on cross-border transactions for clients doing business in multiple locations. Baker Tilly's network spans 145 territories, with 38,000 people working in more than 746 offices.
Baker Tilly International is an international business professional services network specialising in advisory, consulting, auditing, tax and legal, accounting, labour and management services for SMEs and multinational companies.
