Ayrshire-based but ever-expanding hospitality operator, Buzzworks Holdings, has announced details of a family management buyout which has put co-founder and managing director Kenny Blair in overall control of the 22-venue group.
Founded in 1978 by siblings Colin (68), Alison (66) and Kenny (55), Buzzworks has gone from strength to strength with its winning formula of establishing great food and drink venues in Scotland’s seaside towns and suburbs.
The buyout deal was described as part of the company’s ‘long-term succession planning’. In a statement released today, June 25th, Buzzworks said that Colin and Alison Blair will be remaining in the business in advisory roles ‘ensuring their insights and values remain part of the company’s DNA’.
According to the statement, the deal will add momentum to Buzzworks’ next chapter of growth, focused on investment in property, expansion in terms of sites and people – and plans to introduce new venues that will incorporate bedrooms as part of the offering.
Kenny Blair said: “A life’s work has gone into making Buzzworks what it is today, and our family couldn’t be prouder of what we’ve achieved. However, our job isn’t anywhere near done and we’re as passionate about it now as we were 40 years ago.
“Along with my brother and sister, we’ve tried to stay true to our mission of making people feel great through hospitality and that founding spirit will continue to drive us forward in this next chapter as we aim to more than double the size of the business and create hundreds of new sustainable jobs,” said Blair.
“This deal gives us the momentum to move further, faster – investing in people, places and new formats including venues with rooms in more towns and suburbs across the country.
“Our foundations are strong and we know exactly where we want to get to. The next stage of the Buzzworks journey is about to begin.”
To help ‘fast-track’ the company’s growth and development, there will be three new senior hires joining the business and new positions created in the coming months.
The financial terms of the management buyout deal have not been disclosed, but it was confirmed that funding had been raised through Alchemy Partners, which has a ‘successful track record’ investing in hospitality businesses throughout the UK and Europe.
The statement also said that West Coast Capital will remain a key investor and Cynergy Bank will join as the new banking partner. The team at Buzzworks has been advised by Fraser Anderson and Rob Cockcroft of Sapient Corporate Finance.
