Private equity firm LDC has backed the management buyout (MBO) of Martin Audio from global audio company Loud Audio. As part of the deal, LDC, the private equity arm of Lloyds Banking Group, has invested £12m for a significant stake in the company, alongside its current management team led by MD Dom Harter.
The investment will enable the business to develop its product range, improve its sales and marketing capabilities through the extension of its global distribution network and enhance its digital infrastructure through software development.
Martin Audio, founded in the 1970s by sound engineer Dave Martin, now has a turnover of around £20m and employs more than 60 people.
Dom Harter, MD of Martin Audio, said: "The next phase of our journey needs a growth-focused investment partner like LDC and the team has demonstrated a shared vision for the business from the outset. Our focus is now on developing our product line even further, and ensuring we have a rock-solid infrastructure in place to extend our global reach and drive market share."
Troy Harris-Speid, investment director at LDC in London, added: "Martin Audio has been on a fascinating growth journey since Dom joined. The business has a world class brand, history of innovative products and a management team with the ambition to build on a solid foundation to accelerate its expansion. Our investment and support will provide a step change for the business, injecting capital into key growth areas and bringing on board additional expertise to help guide its strategy."
As part of the deal, LDC investment directors Troy Harris-Speid and Philip Weston will join the board, alongside James Browning who will join as non-executive director.