Swindon-based corporate finance advisers Watersheds have supported the successful sale of local defence and aerospace business PRP Optoelectronics Ltd to SDI Group plc (AIM: SDI).
Watersheds worked closely with PRP’s leadership team to develop a succession plan that would safeguard the company’s long-term future, while identifying a technically strong buyer aligned with PRP’s entrepreneurial culture and specialist expertise.
Legal advice on the deal was provided by Gardner Leader, underlining the depth of commercial and sector expertise within Swindon’s professional services community.
Strengthening defence and aerospace capability
PRP designs and manufactures custom optoelectronic components for use in demanding aerospace, defence and industrial applications. Its comprehensive in-house design, development and manufacturing capabilities were seen as a strong strategic fit for SDI Group, which is seeking to expand its electronics and engineering portfolio and enter the avionics market.
The transaction marks the second defence-sector deal led by Watersheds in the current financial year, reflecting sustained demand for UK-based specialist engineering and technology businesses from national and international buyers.
Josh Jones, Partner at Watersheds, said:
“It’s a privilege to have worked closely with a fantastic local business and with local advisers to deliver an outstanding result for our clients.
“Our significant track record in both the electronics, and aerospace and defence sectors proved crucial to a smooth and successful process. We are delighted to have secured the right home for the business through our efforts, ultimately ensuring optimal value and obtaining the necessary Cabinet Office approval.”
Securing the right long-term home
PRP’s shareholders – Kevin Peart, Sam Cox, Andrew McKerrow and Richard Martin – prioritised finding a buyer that would protect the company’s long-term future and workforce, while allowing it to remain operationally independent.
SDI Group was identified as an ideal British-based acquirer with a complementary electronics background and a commitment to maintaining PRP’s established culture and values.
PRP Managing Director Kevin Peart said:
“We engaged Watersheds on the basis of the relationship built from the first meeting. We were impressed with the speed at which they found high-quality buyers. Their knowledge of the challenges of the sector and our business, and their dedication to guiding us every step of the way, was instrumental in the success of the process.”
