Orbis Advise On International MBO Of Elite Creations

Orbis Partners have completed their 3rd deal already this year, putting together the multi-million-pound management buyout of one of Europe’s leading suppliers and distributors of fast fashion accessories.

The deal was arranged by Gary Ecob at Birmingham-based Orbis Partners LLP, with legal advice from Lee Clifford and Tom Brown at Freeth Cartwright. Funding was provided by HSBC bank and HSBC Invoice finance.

Elite Creations, has offices and showrooms in Hong Kong and London with a UK based design team. In the first half of 2010, the business will move into ultra modern premises in North-west London, where its product will be showcased.

Elite Creations has Turnover up to £20m and supplies over 30 UK retail groups, as well as exporting to customers in Spain, Germany, Scandinavia and the Middle East. Elite’s accessory ranges include bags, belts, jewellery, sunglasses, scarves and footwear.

The management buyout team is headed by Nitesh Sakhrani, who has been chief executive for some 10 years. He will be supported by Lavesh Sakhrani, sales director.

“This is the beginning of a new era at Elite. We are delighted to have taken over the reigns of this business that my father founded over 35 years ago. We look forward to continuing Elite’s expansion plans for many years to come.”
Nitesh Sakhrani, Chief Executive

“We are delighted to have supported Nitesh and his team in concluding this buy-out. Elite has performed phenomenally well in a very competitive recessionary environment, where product design and innovation has propelled them forwards. Elite has created a great opportunity to continue its Global expansion through its worldwide design and sourcing expertise and international office base.”
Gary Ecob, Partner

“The MBO will provide the management team with an excellent opportunity to capitalise on market growth in their particular sector. There are plans to grow the business significantly and this is perfectly feasible as the company has strong support from its customer base. This deal highlights that as we emerge from the shadow of recession, there are excellent opportunities available for those businesses that can demonstrate demand for a developing product or service, combined with a sound management team to drive the organisation forward.”
Shah Zaki, Partner

Other advisers involved in the deal were; Campbell Woolley, who provided tax advice to the Sakhrani family, and JSM, Hong Kong who provided legal advice to Newco and the bank.