HMT LLP advised Risk Capital Partners’ portfolio company GAK on their acquisition of The Mad About Music Group, trading as Tiger and DJM Music.
Mad About Music was founded by Darren & Leisa Mennie in 2002 as a brand owner and retailer of musical instruments, predominantly focused on the education market within the UK. Since then, the business has evolved to become a prominent online retailer of instruments both in the UK and across Europe, with a reputation for high quality products and accessories, encapsulated within vibrant brands.
It has long established supplier relationships, enabling it to drive rapid product innovations, and has invested consistently in the highest quality control and assurance processes to maintain and measure quality.
The bolt-on acquisition will enable GAK to accelerate the development of an own brand strategy, while at the same time broadening the depth and breadth of its product offering, in particular instruments for beginners.
GAK will initially drive these strategies by cross selling the Mad About Music brands across its online, store-based and education channels. In the medium term, this approach will be complemented by the launch of additional products under GAK’s brands, to build further on GAK’s loyal customer following.
HMT undertook financial due diligence for GAK and Risk Capital Partners on this transaction.
Jon Jenkins, Partner at Risk Capital Partners commented:
“The HMT team were responsive, really got into the detail to understand the business and produced an insightful and thorough report that helped both management and Risk Capital focus on the key issues in the transaction. We look forward to working with HMT again on future transactions.”
Paul Read commented:
“We are delighted to have advised Risk Capital Partners and GAK on their acquisition of Mad About Music. The bolt-on acquisition will enable GAK to fast track the development of their own brand strategy. We look forward to working with them again in the future.”