Blacks Solicitors advise Purston Park Limited on its new employee ownership future

After 23 years, the Leeds based trading group which turned over more than £40 million in the last financial year, transitioned into an EOT as founding shareholders, John Buitekant, Rowena Buiteknat and Ruper Segal sold 59 percent of the shares to its employees.

Completed on 4 March, the sale marked the beginning of a retirement window for the founding shareholders and saw majority shares of Purston Park Limited and trading subsidiaries, Overseas Trading Limited (OTL) and Spot On-Line (SOL) pass into the hands of its 69 employees.

Discussing the sale, Nigel Hoyle, Head of the Corporate team at Blacks Solicitors, commented: “It’s been a pleasure to accompany John, Rowena and Rupert over the last two decades and assist with their succession plan. This transition into an EOT marks the start of an exciting new chapter for the company and all of its employees.”

The share sale comes after the trading group saw sustained growth in the fast moving consumer goods (FMCG) retail market, and the long-held gratitude and confidence in its staff. The newly appointed employee ownership trust board is focused on delivering continued growth and success for the group in all areas of the business from import, supply, wholesale and e-commerce trading.

Led by Alex Hall, Legal Director and Hayley Blackburn, Senior Associate in the Corporate team, Blacks worked alongside KPMG’s Tax team and Castle Square Corporate Finance in the successful EOT transition. Nigel Hoyle, Head of the Corporate team at Blacks will also be joining the board of the new Purston Park Limited EOT.

John Buitekant, founding shareholder and CEO of Purston Park Limited, commented: “After 23 incredible years of building Purston Park (OTL (including its European branch) and SOL) together, we are thrilled to announce that we have transitioned ownership to an Employee Ownership Trust (EOT) guided by the wonderful team at Blacks and Brad Green and Josh Stokes at Castle Square Corporate Finance.. This marks an exciting new era - one that secures the future of the business while honouring the dedication and hard work of the team that helped build it.

“When we started this journey, we were driven by a passion for FMCG retail. Today, as we pass the baton to the team, we do so with deep gratitude and confidence that Purston Park is in the best hands possible - those of the people who know and care for it the most.”

Brad Green, Partner at Castle Square Finance who advises on the share sale transaction also added: “We are delighted to have advised on the successful sale of Purston Park. We are confident that under its new ownership structure, led by an impressive management team and with non-executive support from John & Rupert, the Company will execute its next phase of ambitious growth plans.”

Alongside the Blacks Corporate team’s vast experience in advising exiting shareholders on sales to EOTs, Richard Parr, Consultant Solicitor in the Employment team at Blacks Solicitors also assisted in preparing the new Service Agreements for the founders to govern their employment relationship within the group.

In the last financial year, the Corporate team at Blacks Solicitors has dealt with more than 150 new legal matters on behalf of its diverse range of clients. The team supports businesses across the UK with expert knowledge and guidance on all aspects of corporate law, from building a business through to company restructures, exit planning and Shareholders’ Agreements.