Stellex Capital Management, a middle-market private equity firm, has successfully finalized a definitive agreement to acquire a majority stake in Fox Brothers Holdings Group from its existing shareholders and management. Based in Lancashire, UK, Fox Brothers has been operating since 1932 and is currently in its fourth generation of family leadership. The company offers a range of services to the construction and infrastructure sectors, including muck-away, aggregate haulage, recycled aggregate production, waste recycling, quarry operations, and ready-mix concrete production. Recent acquisitions, such as Hurt Limited and JJ O’Grady, have allowed the company to expand its geographic reach and services, evolving into a more integrated construction materials provider.
As part of this acquisition, Fox Brothers will merge with J A Jackson, a reputable quarry operator known for its production of recycled aggregates and ready-mixed concrete. This strategic merger aims to create synergies across the businesses.
Stellex’s investment strategy focuses on integrating Fox Brothers into a fully circular economy construction materials provider, with the goal of helping to decarbonize the construction supply chain.
Mark Redman, Managing Partner at Stellex, expressed confidence in the company’s potential: “We see strong potential in the Company’s capabilities and resources and look forward to collaborating with management to execute our value creation plan.” He emphasized the firm’s strategy to leverage operational expertise to drive growth.
The board of directors will welcome Mark Joel as Chair and Andy Swinnerton as Chief Operating Officer. Both bring extensive industry experience from leading companies such as CRH/Tarmac and Holcim/Aggregates Industries.
Paul Fox, CEO and current majority owner of Fox Brothers, stated, “We are thrilled to welcome Stellex, Mark, and Andy. This is an exciting time for the company, and with their support and the integration of J A Jackson, we can transform into a fully integrated circular construction materials business, providing sustainable solutions to the industry.”
Mark and Andy noted their eagerness to work alongside Paul and Andy Duckett, Managing Director and owner of J A Jackson, to enhance the company’s growth and transformation into a leading circular economy construction materials provider. They have outlined a plan focused on both organic and inorganic growth in the upcoming months.
Legal counsel for Stellex was provided by Davis Polk and A&O Shearman, while Hill Dickinson advised Fox Brothers on the transaction, with Grant Thornton UK LLP advising on the sale.
