UK entrepreneur and business celebrity Charlie Mullins has sold his 90% stake in Pimlico Plumbers to the US home services company Neighborly.
Neighborly did not disclose the value of the deal, but it is thought to be worth between GBP125mln-GBP145mln, the Financial Times reported, citing sources.
Mullins started Pimlico Plumbers in 1979 from a second-hand van and a bag of tools. It now has an annual revenue of almost US$70mln, over 400 staff and completes around 100,000 service jobs a year for central London homeowners and businesses.
In a statement, KKR-owned Neighborly said Mullins’ son Scott will maintain his role as Pimlico’s leading executive following the acquisition.
According to the FT, Scott Mullins will also retain his 10% holding in the company.
Following the acquisition, Neighborly will have 29 brands across 19 services operating in nine countries.
Commenting on the acquisition, Mike Bidwell, president and CEO of Neighborly, said: “Pimlico’s wide array of trade services as well as its exceptional customer care perfectly align with Neighborly’s purpose, which is to build an extensive service community known for providing excellent experiences. We are excited for the growth to come for both Pimlico and Neighborly as a result of this acquisition.”
Scott Mullins, President and CEO of Pimlico, paid tribute to his father for creating Pimlico Plumbers “out of nothing”.
“Even after Pimlico’s 40-plus years of independent business success, Neighborly’s proven track record for growth and its commitment to its Code of Values assures that we’ve found a like-minded company that can help us grow. This marks a major international milestone for both organizations, and I am excited about the continued innovation and prosperity that is sure to follow for us all,” Scott Mullins said.
Charlie Mullins told the FT: “I won’t need to clean any more blocked drains. I had to make a decision whether I wanted to work for another five to 10 years to grow the business [but] Neighborly can take it to the next level.”
He said the business had experienced a good year during the pandemic with people needing to work from their homes, and that he would invest some of the income from the sale of the business in music ventures and property.