Tees recently assisted the shareholders of Essex-based Universal Services (Sports Equipment) Limited (‘Universal’) in the successful sale of their shares to Millgate Group Limited (‘Millgate’). Universal manufactures and distributes sports equipment to various other businesses such as schools and gyms. Millgate is the parent company of Continental Sports Limited (‘Continental’), and the sale has helped to enhance the offering of the group in the sports equipment industry. Continental and Universal had a combined turnover in 2024 of over £13 million.
Claire Powell, Partner of the Corporate Commercial team, led the transaction, assisted by Gabriella Cox (Solicitor). The work included advising on the terms of a Share Purchase Agreement and negotiating this with the buyer’s solicitor, advising on warranties and drafting a detailed Disclosure Letter, advising on the terms of a loan agreement between the seller and the buyer, drafting various transaction ancillaries and assisting the client with responses to due diligence enquiries.
The sale provides three of the shareholders a well-deserved clean break from the business after over 40 years of ownership, with one of the shareholders remaining in the business as a director, for which advice was received on the director’s service agreement from Katherine Jameson (Associate) in the Tees Employment Law team.
As part of the transaction, Tees Commercial Property department, led by Daniel Fairs (Partner) and assisted by Anjalie Bala (Associate), advised the sellers on the property aspects of the sale, including responding to CPSE enquiries, reporting on title on two properties, and advising on the assignment of a lease.
Colin Rhodes, former shareholder and director of Universal, commented: “The whole team I dealt with at Tees were very professional and most helpful guiding us through the whole process. Claire and Gabriella were brilliant on the share sale, Daniel and Anjalie took care of the property side of things. Anjalie had wonderful resilience and patience dealing with our pension provider. All in all, I would highly recommend Tees.”
Jim Baker, Director at Baker Clarke, commented: “The entire team at Tees provided swift commercial and pragmatic advice with utmost professionalism throughout. A very good choice for legal support to those with transactions of this type. Often timing and liaison are critical to a successful sale transaction and Tees had these areas of the transaction very well addressed.”
Claire Powell added: “We are thrilled to have played a part in facilitating the sale of shares in the company. All advisers worked hard and collaboratively to achieve a successful transaction that benefited all parties. With particular thanks to Jim Baker of Baker Clarke for his guidance and support throughout.”
For further information on the three companies, see links below:
