In this publication, FRP Advisory Restructuring Advisory Partners, Ian Corfield and Phil Armstrong explore the headwinds the leisure sector is facing, and the key factors that leisure businesses will need to keep in mind as they re open their doors.
2024: a year in review FRP Corporate Finance in Central and Eastern England
frp corporatefinance.com
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A very positive outlook for the year ahead 2024: a year in review
Real expertise. Real results. 2024: a year in review
2024 was a year of change with some major events politically and economically both in the UK and worldwide, but in spite of some uncertainty, appetite and interest in local deals remained strong and increased rapidly as the year progressed. Our team in the East completed 27 deals during 2024, an increase of 42% from the prior year. Like many advisors we were extremely busy in the approach to the budget in October 2024 as fears over a significant increase to Capital Gains Tax rates combined with concerns that Business Asset Disposal relief could be abolished created momentum and accelerated many completions. Locally we completed 10 deals in 10 days prior to the chancellor’s first budget. Whilst there were winners and losers from the budget, the outlook for transactions in the year ahead remains positive as increases to Capital Gains Tax and changes to Business Asset Disposal Relief were much more modest than many people feared. We do not expect the increases to materially impact deal volumes or the decision making of sellers who are well prepared and ready to exit, and our pipeline for 2025 completions is strong. Our mix of work was similar to last year with EOTs, 7 being the largest contributor by number of deals, however, 2 complex private equity deals contributed nearly £100m of value for our clients. Trade disposals and traditional management buyouts made up the balance of our sell-side work. Demand for acquisition support was stronger than 2024 with 4 buyside advisory completions and 5 successful due diligence projects. We also continued to provide expert advice on lending and refinancing projects, completing 3 debt advisory mandates alongside a range of other advisory projects.
Nationally our Corporate Finance practice continued to grow with the acquisition of 2 significant regional firms, Lexington Corporate Finance in Wales and Williams Ali in Newcastle. This coupled with a number of partner and other senior hires across the UK brings our UK Corporate Finance headcount to over 100. Finally, our local team has continued to grow this year, and we were delighted to welcome Dave Howes back into the partnership to lead our local Corporate Finance practice which will be followed by a number of further additions to be announced in the coming months.
Expert solutions for your business goals
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Contents
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Introduction
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Highlights from 2024
Chris Adlam Partner Corporate Finance
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Our services
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Meet the Corporate Finance team
+44 (0)7786 166 927 chris.adlam@frpadvisory.com
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Case studies
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East of England offices
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National coverage
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2024: a year in review Highlights from 2024
2024: a year in review
Our services
The right services at the right time for you
We are experts in delivering solutions to our clients throughout the corporate life cycle and pride ourselves in offering a senior-led service with every client receiving clear, honest and strategic advice. Personally, I’m delighted to be back as a Partner, although in reality I have never really been away. For the last 18 months I have acted as a Consultant leading a number of transactions over that period, including one of the most complex transactions of my career bringing together seven independent businesses to form a leading national coach operator backed by a European Private Equity House. The completion of such a transaction is another example of the unique skills of the FRP Corporate Finance team and its ability to deliver exceptional results for its clients, even when others said it couldn’t be done. I’m excited to be leading the Corporate Finance team into 2025, with the ambition and mandate to grow the practice, building our market leading advisory proposition in the Central and East of England market to help even more clients realise value from their businesses. With the autumn budget in the rear-view mirror and the certainty this gives to business owners on the tax
landscape over the coming months and years, we are going into 2025 with a strong pipeline of transactions across the whole range of our specialisms including international sell side mandates, private equity buyouts, buy side acquisition support, transition to employee ownership and management buyouts. Even if you are not considering a transaction for many months, even years, I highly recommend you speak to us to get our advice on how to best position your business for a future event. Unlike a lot of firms, we are very happy to invest our time into businesses and relationships early, which is another reason we have such a high success rate in delivering transactions. Bring on 2025...
74 New client
27 Deal
200+ Years of deal experience Our senior led team provide unrivalled experience in the local market which delivers the highest possible success rate on deal completions. 40 International firms
engagements We were instructed on 74 new Corporate Finance and advisory projects in the year compared to 55 in 2023.
completions A 42% increase on the prior year figure of 19, highlighting a major increase in deal activity and overall confidence.
Dave Howes Partner Corporate Finance
100+ National colleagues
14 Local deal makers
+44 (0)7500 858 143 dave.howes@frpadvisory.com
Acquisitions
Business Growth
Whether a first time purchaser, a serial acquirer or an MBO/MBI team, we have the knowledge and experience to assist in all aspects of the acquisition process.
Through our strategic advice we are able to provide external advice and, where needed, hands-on interim management support to a wide range of clients. Reorganisations The restructuring of a company or a group of companies involves financial, structural, strategic and tax based considerations. Our experience covers all the bases. Specialist Tax
A local team with boots on the ground across the East and a clear understanding of how to drive value in this region.
Part of one of the strongest Corporate Finance teams in the UK with over 100 colleagues with knowledge and deal credentials from all sectors and all regions in the UK.
As a member of a truly integrated international network we can unlock and deliver transactions across the globe.
Private Equity
We are very well connected to many private equity and venture capital funds and focus on matching the best placed investor to the right deal.
Disposals
We specialise in advising on full, partial or structured exits, retirement sales, EOTs, divestments and equity release.
Understanding the tax planning opportunities and avoiding tax traps and pitfalls is at the core of all our planning work.
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Meet the specialist Corporate Finance team 2024: a year in review
We take a senior-led approach with experienced Partners and Directors rolling their sleeves up and getting stuck-in to the day-to-day work on a transaction. Over the years this approach has built confidence and momentum for clients and ensures the highest possible success rate on our deals.
Tony Longman Director Corporate Finance - Tax Norwich +44 (0)7342 887 680 tony.longman@frpadvisory.com
Matt Field Director Corporate Finance - Tax Norwich +44 (0)7796 716 078 matt.field@frpadvisory.com
Joanne Price Director Financial Advisory Norwich +44 (0)7841 494 357 joanne.price@frpadvisory.com
Lydia Kelsall Assistant Manager Corporate Finance Norwich +44( 0)7547 403 663 lydia.kelsall@frpadvisory.com
Cameron Robertson Assistant Manager Corporate Finance Norwich +44 (0)7761 748 819 cameron.robertson@ frpadvisory.com
Dan Bowtell Partner Corporate Finance Cambridge +44 (0)7979 536 343 dan.bowtell@frpadvisory.com
Alex Hunton Director Corporate Finance Norwich +44 (0)7884 584 288 alex.hunton@frpadvisory.com
Chris Adlam Partner Corporate Finance
Dave Howes Partner Corporate Finance Norwich & Cambridge +44 (0)7500 858 143 dave.howes@frpadvisory.com
Norwich & Essex +44 (0)7786 166 927 chris.adlam@frpadvisory.com
Helen Tavner Business Development Manager Corporate Finance Norwich +44( 0)7701 218 333 helen.tavner@frpadvisory.com
Jackie Collier PA and Office Manager Corporate Finance Norwich +44(0)1603 703 173 jackie.collier@frpadvisory.com
James Cooper Partner
Ryan Symonds Partner Corporate Finance Norwich & Cambridge +44 (0)7795 905 138 ryan.symonds@frpadvisory.com
Jon Dodge Practicing Consultant Corporate Finance Norwich +44 (0)7775 696 809 jon.dodge@frpadvisory.com
Lucy Day Executive Corporate Finance Norwich +44 (0)7355 678 212 lucy.day@frpadvisory.com
Corporate Finance Norwich & St Albans +44 (0)7717 570 973 james.cooper@frpadvisory.com
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Trade sale
Private equity
The Coach Travel Group
Ripe Now
The Coach Travel Group is the result of the strategic amalgamation of Alpine Travel, Barnes Coaches, Coatham Coaches, JH Coaches, Johnsons Coaches, Swans Travel and The Ready Group. The new group is now focussed on delivering an ambitious growth strategy and providing a best-in-class customer service. Our Corporate Finance team, led by Director Alex Hunton, and Partner Dave Howes acted as the lead adviser from start to finish, helping to form the strategy and bring the seven operators together, including approaching investors and helping to navigate the complexities of merging the different groups. Lead adviser on the merger of seven leading regional coach operators.
Employing more than 150 people, Ripe Now specialises in growing, importing and ripening mangoes, and other tropical fruit, which it supplies to major supermarkets and food manufacturers across the UK. Our Corporate Finance team, led by Partner Chris Adlam and Financial Advisory Director Joanne Price, was appointed to support the shareholders on their long term strategy and seeking new investment. After a period of strategic advice and hands-on support we helped prepare the business for sale and managed due diligence through to completion. The team handled negotiations between a number of parties, which resulted in a deal to split the business into two parts to be sold separately. Advisers on the trade sale of tropical fruit supplier, Ripe Now, to leading fruit distributors.
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We thank the team at FRP Corporate Finance for their invaluable support throughout a highly complex process. Kieran Swindells The Coach Travel Group
With a number of parties involved, and two deals completing simultaneously, this was a complex sale process which delivered a great result for Ripe Now’s shareholders and other stakeholders.
Chris Adlam FRP Corporate Finance
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Acquisition
Private equity
Rapid Repair Network
The Holkham Estate
Founded in 2018 and headquartered in Southampton, Rapid Repair Network has developed a strong market position and now delivers more than 10,000 same- day repairs annually to leading insurers, accident management companies and fleets. It has built an extensive supplier network, which means it is able to service the whole of the UK Our Corporate Finance team led by Partner Ryan Symonds advised Rapid Repair Network on its long term growth strategy and search for investment. The team ran a competitive process to source the right investment partner, and then negotiated and managed the process through to completion. Our team provided hands-on project management and expert advice which helped bring about a desired outcome for all stakeholders. Adviser to leading provider of same- day accident repair firm Rapid Repair Network on its long term growth plans and investment from private equity firm, Chiltern Capital.
With a history dating back to the 17th century, Holkham is a highly diversified rural estate on the North Norfolk coast which has successfully embraced visitor, tourism and leisure activities alongside farming and conservation. The business portfolio includes Pinewoods, a holiday park in Wells-next-to-the-Sea. Holkham has added six caravan parks along the North Norfolk coast to its portfolio and the caravan distribution and sales businesses trading as McDonnell Caravans. Our Corporate Finance team led by James Cooper was appointed by Holkham as buy-side advisers and helped manage all aspects of the deal. Our team supported Holkham with preparing its offer and negotiating terms, with our Financial Advisory team then supporting with the financial modelling, valuation and financial due diligence. The deal will allow Holkham to expand its holiday park offering in response to growing demand whilst ensuring its sites remain a must-visit place for holidaymakers in Norfolk. Lead Corporate Finance adviser to The Holkham Estate on its acquisition of six caravan parks.
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The support and guidance provided by the team at FRP Corporate Finance was second to none. Rob Hawes Rapid Repair Network
I am delighted we can now expand Holkham’s caravan park business through this exciting acquisition. The Earl of Leicester Holkham
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Financial Due Diligence
Management buy-out
Steliau Technology
Total Merchandise
Paris-based Steliau Technology specialises in the supply of electronic parts including screens, connectors and cables to manufacturers in the aeronautical, automotive, rail, telecom and consumer sectors. Steliau, advised by DDA & Company - a fellow AICA member firm in France, had already made a number of acquisitions. When it identified its first target in the UK, DDA contacted FRP to provide support. Our Financial Advisory team led by Joanne Price was appointed to carry out financial and tax due diligence on Alpha Micro Components – a leading distributor of components and wireless solutions in the UK and Ireland. The FRP team reviewed the historic and forecast trading performance alongside net assets and cashflows to identify key risks. The team also provided tax advice and supported negotiations of deal terms. The acquisition will open up cross-selling opportunities for Steliau, with Alpha Micro bringing new expertise in connectivity and geolocation technologies to the newly expanded group. Advisers to Paris based Steliau Technology on its acquisition of UK based Alpha Micro Components.
Founded in 2004, Total Merchandise has built an enviable reputation as a trusted promotional partner to UK businesses and organisations, generating consistent year-on year growth. They are one of the UK’s leading suppliers of promotional products and branded merchandise with over 10,000 key product lines. Our Corporate Finance team, helped provide strategic advice and manage the transaction from start to finish including the design of a debt led structure to facilitate the capital restructuring, preparation of stress tested integrated financial forecasts including associated covenant review and presenting the business to its funder to secure a credit approved funding offer. The team also led on all taxation structuring matters including obtaining the requisite HMRC tax clearances to facilitate the deal. Adviser to multi award winning supplier of promotional merchandise, Total Merchandise, on its MBO.
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The level of assistance and handholding where needed was hugely valuable and quite frankly I don’t think we could have made this happen without them.
This acquisition provides an excellent strategic fit, giving Steliau Technology a foothold in the UK and Ireland for the first time.
Jay O’Connor Total Merchandise
Joanne Price FRP Corporate Finance
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Employee Ownership Trust
Trade sale
Project Clear
Project Gum
“ It was great to assist the shareholders of Project Clear with the sale of shares to an Employee Ownership Trust. The structure of the transaction, and specifically the introduction of new debt facilities, meant all parties needed to work rapidly to implement the transaction prior to the Autumn budget. Project Clear is a specialist glazing company located in London and the South of England which designs, manufactures and installs specialist products for high-value residential dwellings. The business employs over 60 staff and has turnover of £14m. We were engaged to review options for the shareholders and to advise on the most appropriate exit route to ensure the continued success of the business. Having initially advised on a range of options from trade sale to management buyout and EOT, the shareholders chose to pursue the EOT route. We provided share valuation, tax advice and general Corporate Finance expertise to the Shareholders, and worked with their existing accountants, legal advisers and bankers to implement the transaction, enhancing the cash available at completion with bank debt. Advisers to the shareholders on exit options leading to the completion of an EOT transaction with day one funding, enhanced by bank debt.
Project Gum was established in 1991, and specialises in the development and manufacturing of a wide range of industrial adhesives from its dedicated facilities based in Essex. The business has built a UK wide reputation for high quality solutions and services across numerous industries. Our Corporate Finance team advised Gum on its sale to Belgium headquartered Gluecom, who is a leading European adhesive manufacturer. Gum has established credentials nationwide which are complementary to Gluecom’s continued growth strategy in the UK. The deal represents an exciting next stage for the business as well as the opportunity for the shareholders to the exit the business after over 30 years of ownership. Advisers to the shareholders of Project Gum on a successful sale to a leading international buyer.
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We thank Ryan and the team at FRP for their diligent and expert support throughout the sales process to facilitate an efficient process with a successful outcome for the shareholders.
Managing Director Project Gum
Chris Adlam FRP Corporate Finance
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Financial Due Diligence
Trade sale
Encore Property Management
Project Bridge
Advisers to Encore on its acquisition of Aspect Property Management.
Project Bridge is a group of facilities management and outsourced cleaning businesses based in Kent, with turnover of £15million. Employing over 900 staff, it operates from 6 locations nationwide and provides high-quality services to clients across the public and private sectors, underpinned by long term contracts. Following a full marketing process involving parties from across the UK and beyond, we successfully secured a sale of the core businesses whilst simultaneously reorganising the group to extract one company that was to be retained by the owners. Alongside the competitive sale process, our role also involved managing numerous external stakeholder groups and the deal resulted in a very favourable outcome for all concerned. Lead Corporate Finance adviser on the sale of three facilities management companies.
“ Aspect’s impressive portfolio across London makes it a welcome addition to the Encore group. This acquisition marks an exciting time for both businesses, and I look forward to seeing how they can benefit each other. Encore Property Management is one of the largest Residential Managing Agents in the country, providing a range of estate management services to its portfolio across the UK. FRP have supported Queen’s Park Equity (QPE) and Encore since the management buyout in 2021, and subsequent bolt-on acquisitions of property developer, PREIM and Knight Frank’s Residential Asset Management division. Our Financial Advisory team was appointed to carry out financial and tax due diligence on Aspect Property Management, a London-based residential managing agent. This marked the third acquisition that we have advised on since the QPE investment and will see Encore expand its presence in central London. Towards the end of this year, FRP Corporate Finance advised QPE on its exit of Encore to Odevo, a portfolio company of Fidelio Capital. Strong organic growth and the three complementary acquisitions which we advised on, helped generate an initial return of 5.9x money multiple with deferred payments expected to increase this to 7.6x money multiple.
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Despite the complexities in this deal, including the management of multiple external stakeholders and a pre-deal group reorganisation we were delighted to secure a great outcome for the vendors in limited timescales.
Chris Adlam FRP Corporate Finance
Alison Price QPE
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Acquisition
Acquisition
True Staging
Mayday Office Equipment
True Staging is an Essex-based scenic design and fabricator for the events and entertainment industry. The business creates luxury brand experiences for a range of leading global markets and regularly provides installation for red carpet film premiers in London, including blockbusters such as Wicked, Barbie, Wonka and James Bond and also works with brands such as Formula 1, Burberry and Spotify. As part of its exciting ambitions, True identified Box Productions as the ideal target to accelerate its growth ambitions. Box is a scenic production build company that has produced activations for brands including Netflix, TikTok and Apple. Our Corporate Finance team was appointed to act as buy- side advisers for True Staging, advising on negotiations, deal structure and funding, as well as completing financial due diligence for the deal, resulting in True acquiring a majority stake in Box. Buy-side adviser to True Staging on its acquisition of a majority stake in Box Productions.
Norwich-based Mayday is an independent provider of Managed IT services and Print Management solutions, supplying the latest technology on behalf of many of the world’s leading manufactures. Forging strong relationships with a range of companies from small family run businesses through to multinationals, they specialise in multifunctional device sales, repairs and full IT helpdesk and support. Our Corporate Finance team was appointed as lead buyside advisers to Mayday. Working across the Corporate Finance and Financial Advisory pillars, the FRP team collaborated on all stages of the deal process and led the transaction to a successful conclusion. Buy-side advice to independent managed print, IT and hosted technology services provider, Mayday Office Equipment Services, on its acquisition of Norfolk Copiers.
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The advice and support received from FRP’s Corporate Finance team was very professional and their expertise ensured a smooth transaction from start to finish.
Chris and the team at FRP Corporate Finance became an extension of our team, allowing us to create a deal structure that worked for both companies. The team very quickly understood our business adding a bespoke level of representation.
Karen Aldred &. Adam Northcut Mayday Office Equipment
Chad Higgins True Staging
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Employee Ownership Trust
Financial Due Diligence
Pylon One
Contact Electrical
Founded in 1988, Contact Electrical offers a complete design and installation service for industrial, commercial and domestic premises, with clients including Mercedes Benz and Lotus. The management team required funding to undertake a management buyout. The deal will see founder, Mark Eames, exit the business after 36 years at the helm. Our Financial Advisory team was appointed to provide pre lend financial due diligence to both the lender and Contact Electrical, with a specific focus on contract accounting processes. The deal will allow the new management team to continue to grow the business’s footprint across the region and beyond, led by directors Ashley Manning, Leon Hudson and David Seaman. Adviser to East Anglia-based electricals business, Contact Electrical, on its management buyout.
Headquartered in Buckinghamshire, Pylon One specialises in the design, installation and operation of the ICT infrastructure for major events across the globe and has recently worked on occasions including London’s New Year’s Eve, King Charles’ Coronation and COP28 in Dubai and has recently transitioned to employee ownership. Our Corporate Finance team was appointed to manage the transaction. The team designed the structure of the Employee Ownership Trust (EOT) and undertook share valuation, tax and financial modelling. We also provided tax advice, including the preparation of the advance clearance applications required by HMRC to underpin the deal. Advisers to Pylon One and its shareholders on a successful transition to employee ownership.
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With our colleagues so central to this success, our move to employee ownership represents a natural next step in our business’ development, to provide long-term stability and enable our team to share in our continued success.
We thank Joanne and the team at FRP for their support throughout the management buyout process. They quickly understood how our business works and articulated this clearly to the lender.
Mark Lyons Pylon One
David Seaman Contact Electrical
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2024: a year in review
2024: a year in review
Our East of England presence
National coverage
Birmingham Telephone +44 (0)1217 101 680 Brentwood Telephone +44 (0)1277 503 333 Brighton Telephone +44 (0)1273 916 666 Bristol Telephone +44 (0)1172 033 700 Cambridge Telephone +44 (0)1223 869 980
FRP’s specialist Central and Eastern England Corporate Finance team is the most experienced in the region and has been successfully completing deals for clients throughout the region since 2004 (prior to 2020 as JDC Corporate Finance). Our established regional presence, working from our offices in Norwich, Cambridge, Brentwood and St Albans, means that we have “feet on the ground” throughout the wider region. In a world where distance is often no longer such a problem, we are still able to engage personally on a face to face basis with our clients as they make some of the most important decisions of their business lives. Whether in our clients’ offices, or the privacy of our own offices, we are always happy to attend no commitment, exploratory meetings and we look to add value from the earliest possible point of contact. FRP is committed to its continuing growth in the region and to helping even more clients throughout the region achieve their business and personal goals and objectives.
Map locations highlight Corporate Finance and Debt Advisory presence.
Cardiff Telephone +44 (0)29 2034 1001 Leicester Telephone +44 (0)1163 033 333 London City Telephone +44 (0)20 3005 4000 London West End Telephone +44 (0)20 3978 8990 Manchester Telephone +44 (0)1618 333 344 Newcastle Centre Telephone +44 (0)19 1249 1736 Norwich Telephone +44 (0)1603 703 173
Norwich
Cambridge
Dencora Court 2 Meridian Way
1 Cambridge Square Milton Avenue Cambridge CB4 0AE
Norwich NR7 0TA
+44 (0)1603 703 173
+44 (0)1223 869 980
St Albans 4 Beaconsfield Road St Albans AL1 3RD
Brentwood
Jupiter House Warley Hill Business Park The Drive Brentwood CM13 3BE
Reading Telephone +44 (0)1189 502 269 St Albans Telephone +44 (0)1727 811 111
+44 (0)1727 811 111
+44 (0)1277 503 333
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FRP Advisory
Dencora Court 2 Meridian Way
1 Cambridge Square Milton Avenue Cambridge CB4 0AE
Jupiter House Warley Hill Business Park The Drive Brentwood CM13 3BE
4 Beaconsfield Road St Albans AL1 3RD
Norwich NR7 0TA
Tel: 01603 703173
January 2025
FRP Corporate Finance is a trading name of FRP Advisory Trading Limited company number 12315855. FRP Corporate Advisory Limited, company number 09700818 is authorised and regulated by the Financial Conduct Authority (FCA), registration no. 716736 and is a wholly owned subsidiary of FRP Advisory Trading Limited. Corporate Finance services are provided by either FRP Advisory Trading Limited, or if the services are regulated by the FCA, by FRP Corporate Advisory Limited. Both companies are registered in England and Wales and their registered office is 110 Cannon Street, London EC4A 6EU.
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