London-based mid-market M&A advisory firm LAVA Advisory Partners has secured £8m in growth debt financing from European SME funder Beechbrook Capital.
LAVA said that it opted for structured debt financing to fund its expansion plans while remaining 100% employee-owned through its Employee Ownership Trust (EOT), avoiding dilutive equity investment that would necessitate a future trade sale or private equity exit.
The corporate finance firm will deploy the capital across a three pillar growth strategy, expanding its partner base through internal promotions and lateral hires, scaling its international deal network, and upgrading its operational infrastructure.
The transaction follows LAVA’s promotion of Tom Rowe-Jones to partner alongside existing partners Simon Woodcock, Hamish Martin, and CEO Bridget Austin.
“We’re really proud of what we’ve achieved in our first five years. The team, the clients, the values we’ve established in such a short time have given us a rock-solid foundation for growth,” said Simon Woodcock, a partner at LAVA Advisory Partners.
“With our plan for the next five years underway, we’ve set ourselves ambitious goals around our strategic pillars, and with the support of an institutional investor like Beechbrook, it’s full steam ahead.”
Elliot Gargan, investment director at Beechbrook Capital, added: “LAVA has a clear and consistent view of where the business is going, supported by a strong market opportunity and a leadership team with the experience and determination to deliver its plans.
“The momentum around the firm is supported by a clear strategy and a properly structured growth plan. That, along with our past interactions, gives us confidence in the business and makes LAVA a compelling firm for Beechbrook to support.”
