Colne-based Dent Instrumentation Limited has transitioned to become an employee-owned business after the Dent family sold the firm to a newly formed Employee Ownership Trust. The value of the deal has not been disclosed.
The company is a world leader in yarn sensor design and manufacture. Yarn sensors are integral to production processes and Dent Instrumentation works with blue chip textile machinery manufacturers around the globe. Its heritage in the sector is long as the patent for the very first contactless yarn sensor was granted to company’s founder Geoffrey Dent in the 1960s.
The deal ensures a smooth succession as well as the preservation of the company’s core family values and the Dent Instrumentation name.
For the right business, creating an Employee Ownership Trust (EOT) provides a great way for owners to sell a controlling stake in their company to realise their value whilst passing ownership of the company into a trust for the long term benefit of employees.
PM+M – the Blackburn and Bury-based chartered accountancy, business advisory and financial planning group – provided tax, valuation, corporate finance and feasibility assessment advice.
Andrew Dent commented:
“The success of Dent Instrumentation has been down to the dedication and talents of the whole team so putting it in their hands feels fantastic. It was also incredibly important to protect our heritage and way of working and I couldn’t think of anyone better to do that than the very people who helped to grow the business.”
Jim Akrill – consultant within PM+M’s corporate finance team – said:
“Dent Instrumentation is a highly respected and long-established local manufacturing company so supporting them through this deal has been a privilege. The EOT structure will maintain the integrity of the business for years to come and we wish them all the best. I’m sure they will continue to thrive.”
Working with PM+M, a team from Brabners – led by employee ownership specialist Stephen Hadlow – provided legal advice to Dent and its employees.
Speaking about the deal, Stephen Hadlow, said:
“The workforce at Dent Instrumentation is highly skilled and highly valued, so it was a key priority for the family that those jobs and the Dent culture be protected in the delivery of their succession plan. The transition to employee-ownership for Dent is a perfect solution and reflects the increasing number of owner-managed businesses we’re supporting across the UK that see the benefits of EO as an effective succession strategy.”
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