SONAS Bathrooms

The business

SONAS Bathrooms is a market leading supplier of bathroom suites, sanitary ware and related bathroom products in Ireland.

The deal

In 2017, the business was led by CEO Dermot Usher, his brother Gerard, and MD Richard Sloan. Dermot and the Usher family owned 100% of the business. MML Ireland was introduced to the company in order to facilitate a shareholder reorganisation. Following a period of strong growth, both Gerard and his mother wished to fully realise their shareholding in the business and Gerard would also retire from his executive role. As part of the transaction, MML Ireland also facilitated a de-risking event for Dermot who rolled a significant portion of his value into the new structure. MML Ireland built a strong relationship with Dermot by demonstrating our understanding of his desire to capitalise on the strong market demand whilst moving into a non-exec position over time.

The exit

Dermot had built a strong management team around him and broadened the equity participation as part of the 2017 shareholder reorganisation. Together, they grew the business in partnership with MML Ireland, and doubled EBITDA.  Dermot stepped back from day-to-day operations and pivoted into a non-executive position. The growth in the business allowed for a successful LBO led by Richard Sloan with debt provided by Muzinich & Co. This facilitated substantial realisations for MML Ireland and Dermot whilst completing the management succession with a matching shareholder base. MML Ireland and Dermot returned material capital whilst also retaining a position to further benefit from the future growth in the business.