Gordon Brothers funded the management buyout of the OnDemand division’s business and assets from global e-commerce technology group and brand owner THG through a £5 million ($6.4 million) facility secured by multiple collateral classes, including inventory and plant and machinery.
ZavviGroup, which operates the websites Zavvi.com and IWOOT.com, used the facility to complete its buyout of the OnDemand division, paving the way for a new era of growth and development with its existing management team.
“We’re delighted to provide the ZavviGroup a tailored solution and necessary liquidity,” Nick Kitchin, managing director, capital at Gordon Brothers, said. “In leveraging our extensive knowledge of retail and online-only operations, we were able to support this renowned name in the online retail industry with financing that provided the headroom to carve the business out of THG and allow it to grow.”
“The quick, friendly and pragmatic way Gordon Brothers has partnered with our team in delivering a tailored financing solution has been very welcome,” Adam Knappy, chairman of ZavviGroup, said. “This buyout marks an exciting milestone for us, and l look forward to building upon our partnership with the firm.”
Gordon Brothers was advised by Stephenson Harwood and ZavviGroup was advised by BDO, Gunnercooke and Greene & Greene Solicitors.
