THE DOCK · Kings Langley, Hertfordshire

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Munnelly Group logo - black

Tel: +44 (0)208 092 8800

THE DOCK · Kings Langley, Hertfordshire

Munnelly Group logo - black

Tel: +44 (0)208 092 8800

Group Acquisitions

Bringing the right businesses
into the group.

We’ve acquired many specialist businesses over the years – all sharing the same disciplined approach, the same standards, and the same long-term goal.

Our Strategy

Built for the long term.

Our acquisition strategy is built around long-term growth. We look for specialist, service-based companies that operate in defensible niches, with strong management teams, stable revenues, and a cultural fit with the wider group.

How we acquire - four phases Horizontal four-phase strip showing the Munnelly Group acquisition process from first conversation through to long-term growth. HOW WE ACQUIRE From first conversation to long-term growth. 01 CONVERSATION An honest first chat - no obligation, no pitch deck. 02 DUE DILIGENCE Mutual, thorough, fair. You learn about us too. 03 AGREEMENT Structured to keep your team and brand intact. 04 GROWTH TOGETHER Group support, brand autonomy. For the long run. → → → How we acquire - mobile Four-phase acquisition process stacked vertically for mobile. HOW WE ACQUIRE From conversation to long-term growth. 01 CONVERSATION An honest first chat - no obligation, no pitch deck. 02 DUE DILIGENCE Mutual, thorough, fair. You learn about us too. 03 AGREEMENT Structured to keep your team and brand intact. 04 GROWTH TOGETHER Group support, brand autonomy. For the long run. ↓ ↓ ↓

Our Approach

Acquiring businesses with long-term potential.

Our approach is never one size fits all; however, the qualities we look for in any acquisition remain consistent: strong leadership, specialist expertise, long-term potential, and businesses that share our values around people, standards, and responsibility.

Five criteria compass - what we look for in any acquisition The MG monogram at the centre with the five acquisition criteria - Leadership, Stable, Niche, Cultural Fit, Sharing - arranged around it in a pentagonal compass, each with a brief paragraph. MUNNELLY GROUP Five criteria compass — what we look for in any acquisition We believe the strongest acquisitions are built on alignment — in values, ambition and the way a business is run. LEADERSHIP We seek to retain the management team, so it is critical that we can work together. We look for leaders who can inspire the next generation. STABLE An ability to deliver reliable, stable revenue streams - with strong financial management, healthy margins and dependable cash flow. CULTURAL FIT We're a diverse, fun and relaxed group. We look for companies who share that approach and a common commitment to outstanding customer-based solutions. SHARING We seek to maximise synergies by coordinating common functions, sharing best practice and implementing sensible commercial and financial controls. NICHE One of the cornerstones of our success is offering a service with a high barrier to entry. We look for the same in any company we acquire. Five criteria - mobile Five acquisition criteria stacked vertically for mobile, anchored by the MG monogram at the top. MORE THAN NUMBERS ALONE Our five valuation criteria what we look for in any acquisition LEADERSHIP We seek to retain the management team, so it is critical we can work together. We look for leaders who inspire the next generation. STABLE An ability to deliver reliable, stable revenue streams - with strong financial management, healthy margins and dependable cash flow. NICHE One of the cornerstones of our success is offering a service with a high barrier to entry. We look for the same in any company we acquire. CULTURAL FIT We're a diverse, fun and relaxed group. We look for companies who share that approach and a common commitment to outstanding customer-based solutions. SHARING We seek to maximise synergies by coordinating common functions, sharing best practice and implementing sensible commercial and financial controls.

Our Valuation

How we value the business.

Our approach to valuations isn’t based on a formulaic multiple of earnings or turnover — although we recognise our offer can be translated back into those conventional yardsticks.

Instead we take an overall view of the business, listen carefully to you during our meetings, and digest the market conditions, market position and the data that’s provided to us.

Five things that matter - Munnelly Group valuation Centred display showing the numeral five with a one-line caption introducing the factors that drive a Munnelly Group valuation. WHAT MATTERS 5 factors behind the fit Careful decisions. Long-term focus.
  • →The strength of recurring revenue delivered under contract – how stable the ongoing trade is, and how much repeat business happens each year. The higher the recurring revenue the better.
  • →The uniqueness of a product or service and the strength of the competitive landscape. Businesses in a highly defensible niche with few direct competitors command a higher valuation.
  • →Whether any cost savings can be realised as part of the group. We’ve no interest in slashing costs – but where there’s obvious duplication we’ll naturally aim to be more efficient.
  • →The extent of cross-sell and up-sell potential. Businesses that can leverage our existing group resources will command a higher valuation.
  • →The longevity of the product or service and the likelihood of maintaining its trading profile – the “better mousetrap” business will always command a lower valuation.

Our Reputation

Unlike other buyers…

Munnelly Group has acquired many businesses over the years. As a market leader with a strong reputation, it’s important we preserve that reputation in everything we do.

We Won’t Price Chip

The offer we make is the price we pay. We don’t operate by offering a high price and then reducing it during due diligence.

We Are Not Hostile

We won’t engage in hostile takeovers. We want existing management teams to work with us, not feel forced into a position.

We Won’t Fix It

We have no appetite to acquire distressed or failing businesses. We’re busy delivering award-winning services to our customers.

We Want You

We’d always prefer existing management to continue running day-to-day operations. We hope people who join via acquisition stay with us and enjoy their time in the group.

What stays the same, what grows Two-column comparison showing what Munnelly Group preserves about an acquired company and what changes for the better. PRESERVING WHAT MATTERS MOST What stays the same. What grows. STAYS THE SAME "Why fix what's not broken?" Your brand Kept as it is. Logo, name, tone of voice. Your team Same leadership, same desks, same culture. Your customers They notice nothing. Service quality continues. GROWS "What could you do with more behind you?" Group backing Shared finance, HR, compliance, group purchasing. Cross-brand work Access to opportunities that your size couldn't reach alone. Long-term horizon Family-owned means we plan in decades, not quarters. What stays, what grows - mobile Mobile stacked version of the stays-vs-grows comparison. PRESERVING WHAT MATTERS MOST What stays the same. What grows. STAYS THE SAME "Why change what was working?" Your brand Kept as it is. Logo, name, voice. Your team Same leadership and culture. Your customers They notice nothing. Service continues. GROWS "What could you do with more behind you?" Group backing Finance, HR, compliance, purchasing. Cross-brand work Opportunities that you couldn't reach alone. Long-term horizon We plan in decades, not quarters.

Our Criteria

What we look for in an
acquisition.

  • ·
    Specialist service-based operations.
  • ·
    Recurring work streams & repeat business in infrastructure-based environments, with a proportion of underpinned revenue through long term contracts (strong earnings visibility).
  • ·
    Regulatory or legislative drivers creating high barriers to entry.
  • ·
    Blue-chip customers (ideally first-tier, or working in partnership with first-tier contractors) – infrastructure owners, utilities, local authorities, rail, ports and waterways, nuclear, etc.
  • ·
    Market leadership position preferred, with potential to achieve nationwide coverage through organic growth and bolt-on acquisitions.
  • ·
    Technological advantage compared with competitors.
  • ·
    Strong margin potential (minimum 5% EBITDA).
  • ·
    Sustainable markets.

Have a business to discuss?

If your business matches our criteria, we’d be glad to hear from you. Get in touch in confidence.

CONTACT US