Deltron managers plan buy-out

Deltron managers plan buy-out
Richard Wilson Deltron Electronics is at the centre of a management buy-out plan being drawn up by company chief executive Chris Sawyer. Venture capitalists have been identified to fund the deal which could be concluded next month. “There will be no redundancies, no break-up. The managers involved want to grow the business,” said a spokesman for Deltron, the electronic component manufacturer and distributor. Sawyer and company finance director Edward Tozer, the two managers behind the buy-out, took the company public in 1996 in a flotation intended to trigger an international expansion of the group. Acquisitions in France, Denmark and Sweden initially pleased investors and helped Sawyer pick up a Financial Times award in 1997. Sawyer believes further expansion has been hindered by persistent undervaluing of Deltron’s shares. “He was frustrated that the share price did not reflect realistic valuation of the company,” said the spokesman. “With the share price flat on the floor you cannot do many deals.”


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