Sunny future tipped for tanning firm after MBO

Northampton-based corporate finance specialist Watersheds facilitated the MBO of the Leighton Buzzard-based company.

Power Tan is a market leading brand in the manufacture and distribution of indoor tanning products for the salon, health club and spa markets.

Former owner, Gary Banks set up the business in 1987 and Power Tan has built a strong reputation in the beauty and tanning industry with a track record of impressive growth despite recent economic pressures.

The MBO will enable Banks to successfully exit the business and head into retirement, while the former management team will now take the lead and are poised to implement ambitious plans to drive further development and expand the firm’s international reach.

William Senior, Partner at Watersheds, led the MBO. He said: “A Management Buy Out can be an excellent option for owner managers to achieve their ideal exit strategy as well as rewarding a committed and experienced management team with the ability to shape their own destiny and grow the business they have helped build into something bigger.

“Obtaining the right funding can often be an area of concern when contemplating an MBO. However, with the right professional advice, we can help broker the best deal and necessary restructuring to ensure both buyers and sellers achieve their goals.”

Unspecified funding was provided by HSBC and legal advisers were HCR Hewitsons.