Business Growth Fund (BGF), the venture fund backed by five of the UK’s largest banks, has paid £8m ($13.1m) for a 20% stake in Canburg, a UK-based fitted furniture business.
Canburg was formed by CEO Leo Caplan in 2010 with £10m of his own money, and oversees two luxury furniture brands, Smallbone of Devizes and Mark Wilkinson Furniture. BGF’s investment will enable it to expand its workforce both in the UK and overseas.
Caplan said: “I am delighted that in BGF we have found the perfect long-term partner to help us reach our full potential and create the value that clearly exists in this business. I am confident that, over the next five years, we can grow the business from its current valuation of over £50 million (post investment) to a global luxury group worth in excess of £500 million.”
The funding comes around three weeks after BGF invested £6m in furniture retailer Furniture Village.
– Photo courtesy of Canburg Ltd.