Portfolio
Fairline Boats
| Sector | Consumer |
|---|---|
| Investment type | Buyouts |
| Region | UK |
| Status | Former investment |
Nature of Business
Fairline is a UK-based manufacturer of luxury power boats in the 38 to 80 foot range. It produces around 170 boats a year to high-quality specifications, retailing from €200,000 to more than €3.0m.
Fairline’s strong brand is known for its quality design, finish and classic styling. Its boats have low depreciation rates and high resale values. There is also strong customer brand loyalty, with many customers trading up through the model range.
Fairline sells its boats through a market leading network of around 50 dealers across a range of international locations in Europe, Asia, Australia, the Americas and the Middle East.
Investment Overview
In June 2005, 3i backed a management buyout by Fairline’s six-strong management team, which included CEO Derek Carter. We have subsequently appointed Alan Fletcher, who has previous experience of working with 3i, as Non-executive Chairman.
Since the buyout, the company has made several key appointments in its finance and manufacturing operations and supply chain teams. This strengthened team will be vital in delivering the business plan.
Fairline is currently focusing on improvements in its procurement and manufacturing processes with the aim of increasing production efficiencies and improving its margins.
Fairline has expanded geographically during our investment period, notably into Asia.
After six years of ownership, we realised our investment in July 2011.
