Under the MBO deal for the Staffordshire-based firm, marketing director Carl Birch and technical director Andrew Barclay have taken control of the company with incoming executive chairman Paul Richardson.
The deal has been backed by a £3.8m investment from private equity firm Key Capital Partners (KCP), which has taken a “significant” minority stake, as well as debt with Natwest and investment from Richardson.
Wells is now set to focus on increasing its sales of Reverte, its oxo-degradable additive for plastic packaging, into markets including the Middle East, Africa and South America where it is already successful.
He said that in those markets, “rapid development is leading to increasing pressure on waste disposal management”.
“[The deal] will position Wells to become the UK’s largest exporter in this growth market. The company will also draw on the investment to market directly to consumers in order to increase awareness of the benefits of the product.”
Reverte is primarily used in carrier bags and agricultural packaging and has, according to KCP, led to Wells experiencing 20% annual growth in recent years.
Wells also supplies plastics additives that provide a range of properties such as UV resistance, flame retardancy and oxobiodegradability.
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