Shaw healthcare plans long-term growth with £10m Bridges Evergreen investment
Shaw healthcare, an employee-owned care provider for elderly people, has agreed to sell a minority stake to Bridges Evergreen Holdings for £10m to accelerate its growth and development.
With 52 care homes across England, more than 3,500 employees and revenues of over £90m last year, Shaw healthcare is one of the ten largest employee-owned companies in the UK and will continue to be substantially owned by its employees for the long-term. The company enjoys strong relationships with local authorities and the NHS, from whom it derives over half of its income through long-term contracts.
Evergreen is a permanent capital vehicle managed by Bridges Fund Management, a specialist sustainable and impact investor. Unlike standard private equity funds, Evergreen has no requirement to exit in a finite period – allowing it to provide financial and operational support to Shaw over the long-term. As part of the deal, Bridges’ Scott Greenhalgh will join the Shaw board as a non-executive director.
Bridges has extensive experience in the care sector. Evergreen’s first investment was in a residential care provider for young people with complex needs. Bridges has also previously backed two domiciliary care providers (one employee-owned), both of which substantially increased their revenues and care provision during Bridges’ investment period. And through its property funds, Bridges has also developed 14 of the most environmentally-friendly care homes in the UK, in partnership with a leading developer.
Shaw healthcare founder and chief executive Jeremy Nixey, said Bridges was the perfect fit and aligned with Shaw’s ethos.
“As we continue to expand the business and enhance our impact in the coming years we sought an investment partner that shares our values and has a strong record in the care sector,” said Mr Nixey.
Bridges Evergreen executive chairman Scott Greenhalgh said Shaw exemplified the kind of organisation Evergreen had been created to support: a high-quality business addressing a clear societal challenge at scale and over the long term, managed by an outstanding team.
“We believe that as an employee-owned business, its focus on staff engagement serves as an important source of competitive advantage as it looks to deliver the highest quality of care and win new contracts,” said Mr Greenhalgh.