Gordon Brothers, the global advisory and investment firm, has funded the management buyout of the OnDemand division’s business and assets from the global e-commerce technology group and brand owner THG plc through a £5 million facility secured by multiple collateral classes, including inventory and plant and machinery.
ZavviGroup Ltd, 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,” said Nick Kitchin, Managing Director, Capital at Gordon Brothers. “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,” said Adam Knappy, Chairman of ZavviGroup. “This buyout marks an exciting milestone for us, and l look forward to building upon our partnership with the firm.”
Gordon Brothers provides both short- and long-term capital to clients undergoing transformation. The firm lends against and invests in brands, real estate, inventory, receivables, machinery, equipment and other assets, both together and individually, to provide clients liquidity solutions beyond its market-leading disposition and appraisal services.
Gordon Brothers partners with management teams, private equity sponsors, strategic buyers and asset-based lenders globally to provide its expertise and additional capital in special situations. The firm’s tailor-made solutions provide clients additional capital alongside traditional debt and equity, and its structures complement senior asset-based lending facilities and include credit and yield enhancements.
Gordon Brothers was advised by Stephenson Harwood LLP, and ZavviGroup was advised by BDO, Gunnercooke LLP and Greene & Greene Solicitors.
About Gordon Brothers
Since 1903, Gordon Brothers (www.gordonbrothers.com) has helped lenders, management teams, advisors and investors move forward through change. The firm brings a powerful combination of expertise and capital to clients, developing customized solutions on an integrated or standalone basis across four services areas: valuations, dispositions, financing and investment. Whether to fuel growth or facilitate strategic consolidation, Gordon Brothers partners with companies in the retail, commercial and industrial sectors to provide maximum liquidity, put assets to their highest and best use and mitigate liabilities. The firm conducts more than $100 billion worth of dispositions and appraisals annually and provides both short- and long-term capital to clients undergoing transformation. Gordon Brothers lends against and invests in brands, real estate, inventory, receivables, machinery, equipment and other assets, both together and individually, to provide clients liquidity solutions beyond its market-leading disposition and appraisal services. The firm is headquartered in Boston, with over 30 offices across five continents.
About ZavviGroup Ltd
ZavviGroup Ltd is a collection of e-commerce entertainment retail stores selling a superb range of all the latest films, blu-rays, merchandise collectables and games for popular culture. The company works with some of the largest intellectual property holders in the entertainment sector manufacturing products to customer demand.
About THG plc
THG plc is a vertically integrated, digital-first consumer brands group, retailing its own brands in beauty and nutrition, plus third-party brands, via its complete digital commerce solution, Ingenuity, to an online and global customer base. THG’s business is operated through the following divisions: Beauty, Nutrition and Ingenuity.