Bristol-based Molson Construction Equipment, the UK’s largest distributor of capital equipment, has received a £6.3m investment from BGF to support its growth strategy.
Molson will use the funding to build a new national parts centre and additional depots across the UK.
Founded in Yatton in 1996 by Jonathan Wilson and Robin Powell, the business provides sales and aftersales services for heavy construction equipment – such as excavators, material handlers, crushers and loaders – to the construction, quarrying and waste management industries.
The firm has grown organically and through acquisition and now operates from depots in Warrington, London, Kent, Stratford Upon Avon and Doune in Scotland as well as its head office at Avonmouth.
It works with leading original equipment manufacturing brands and is the largest European dealer for Korean and Japanese excavators, including Hyundai, Kobelco and Ammann brands.
The company has also established Molson Green, a full line distributor in waste management and recycling equipment offering all the equipment needed to handle and process applications.
Employing more than 200 people and with annual revenue more than £155m, Molson’s growth has been accelerated in recent years through acquisitions in the North of England and Scotland.
In addition to investment in infrastructure, Molson will work with BGF to explore further acquisitions to continue expanding its national footprint. Earlier this month it acquired Stafford-based Finlay Plant and its subsidiaries, securing the distribution rights for the complete range of Terex Finlay machinery for England, Wales and the Channel Islands.
BGF introduced the business to Bill Caplan, who has been appointed as non-executive chair. Bill is chairman of Derbyshire-based Weldex International, the UK’s largest crawler crane hire company, and community health services group CSH Surrey, following a career with Aggreko and UPS.
Molson managing director Robin Powell said: “In recent years we have been focused on expanding our presence across the UK to provide national sales and after sales services to our customers. We believe it is critical that distributors gain scale and offer a national service to meet the demands of today’s customers. Customers are driving supply chain reductions and are focused on a national service level commitment. This investment will provide the opportunity to continue to add scale to our infrastructure and offering.
“We have got to know the BGF team well and are pleased to be partnering with them. This investment will enable us to implement our plans at pace, with the support of BGF and its wider network.”
BGF, which this year became the first and only investor to have been honoured for Innovation in the Queen’s Awards for Enterprise, has made more than 20 investments in infrastructure, construction and waste management companies across the UK.
The investment in Molson was led by BGF’s Bristol team, including Ned Dorbin, James Skade and Edwin Davies.
Ned Dorbin, pictured above, said: “Molson differentiates by being a national operator for a full range of heavy equipment brands, aftermarket parts and the ability to service increasingly complex machines.
“The company’s growth has been achieved through a strong and committed management team led by Robin and Jonathan, and a focus on developing longstanding relationships with UK customers and international OEM brands. We’re delighted to be supporting the company’s growth as a minority partner.”
BGF was advised by South West law firm Foot Anstey (Ken Lewins and Adam McKenna) and accountants KPMG (Bhupinder Purewal) while John Wood, partner and head of corporate at Bristol-headquartered national law firm TLT, acted for Molson.
TLT also advised Molson on its acquisition of Finlay Plant and its subsidiaries. 
The TLT team also included corporate associate Adam Kean and banking and restructuring partner Jon Stewart.
Molson Group financial director Jason Powles said: “This investment will provide us with the opportunity to add scale to our infrastructure and offering. TLT has played an important role in our growth and we continue to value their clear and commercial advice based on a deep understanding of our business and individual needs.”
John Wood, pictured right, added: “The investment by BGF shows that there is a really healthy appetite in the South West market to invest in successful businesses with strong management teams. We have built a strong corporate team at TLT with the scale and experience to support these businesses with their growth decisions and are proud of the long-term relationships we continue to develop with our clients.
“We look forward to supporting Molson with the next phase of its development.”
