William Thompson deal with B.A.T.A

Harrowells played a significant role in a deal which saw one of Yorkshire and the North East’s largest animal feed producers being acquired by another agricultural supplies business - creating a stronger and enhanced business in the heart of one of the UK’s biggest agricultural areas.

William Thompson (York) Ltd, Murton, founded as a family-run grocers shop almost 90 years ago and acquired by its five-strong management team in 2007, has been bought by agricultural supplies business B.A.T.A., Malton, for an undisclosed sum. The William Thompson MBO team is remaining with the enlarged business.

A multi-discipline team at North Yorkshire accountants and business advisers JWPCreers, together with commercial lawyer, Philip Lewis Ogden, from Harrowells Solicitors, York, advised the management team at William Thompson (York) Ltd on the company’s sale to B.A.T.A. and completed the deal exactly seven years to the day from the MBO transaction seven years ago.

The acquisition by B.A.T.A, Malton, which also has country stores and provides  a range of agricultural fuels, is considered to be among the biggest corporate deals in North Yorkshire this year, creating a group with an annual turnover of more than £110m.

William Thompson (York) Ltd managing director, Andrew Richardson, says: “The sale of our business to B.A.T.A. is good news for both companies, our current and future customers and, importantly, for the Yorkshire agriculture sector. The strength and depth of the group will provide even more specialist help and service to our customers businesses helping them navigate through the global challenges that face the agricultural sector.

JWPCreers corporate finance partner, Tony Farmer, said: “We have advised William Thompson (York) Ltd since the MBO as company auditors and through our agricultural department led by partner, Stephen Headley. They understood the advice given and the importance of good business practice and preparation. Given the complexity of this deal and the timescales worked to we feel we have played a major role in what has been a significant corporate transaction.

Detailed work by JWPCreers to complete the deal started 12 months ago and involved structuring the sale, arranging finance, handling tax issues, preparing exit planning, and auditing through a team which also involved corporate finance associate, Katy Booth and tax associate, Alastair Byrne.

The JWPCreers team also brought in Harrowells Solicitors partner, Philip Lewis Ogden, who had also advised on legal aspects of the management buy out. For the sale to B.A.T.A., he carried out detailed due diligence and also advised on the legal aspects of taxation issues resulting from the sale. Harrowells head of employment law, Marie Horner, advised on service contracts and employment law to the business.

Philip Ogden says: “Having been part of the original professional team supporting the Thompson’s MBO, I am very pleased to have been involved throughout and advised on this exciting sale. This will make a significant and positive contribution to the entire now enlarged group.”

William Thompson (York) Ltd, which provides a wide range of dairy, pig, beef, sheep, game and fish feed compounds to farmers throughout Yorkshire and the North East, was founded as grocery shop in Goodramgate, York, by William Thompson 88 years ago. It will continue to trade and promote its strengths in technical products and high levels of service.