MML takes £11m stake in fast-growing IT recycling company Vyta

Private equity firm MML Growth Capital Ireland has bought a minority stake in IT recycling company Co Antrim Vyta for 13 million euros (£11 million).

The deal comes as Vyta, which operates out of Mallusk and Dublin, confirmed the acquisition of FGD, an Essex-based information technology disposal company.

Originally established in 2001 as AMI, Vyta specializes in the safe disposal and recycling of IT equipment. He said the takeover made it one of the largest IT asset disposal companies (ITAD) in Ireland and the UK.

Some 37 employees were absorbed into Vyta, bringing its workforce to over 120.

FGD founders Leigh Medhurst and Daniel Elson have assumed leadership roles within the restructured group.

Vyta said its four existing shareholders and the co-founders of FGD had made “significant investments” as part of a new growth strategy that is expected to involve further acquisitions as part of a market consolidation strategy.

The company expects revenue to reach £16m this year, up 130% from £7m last year, with plans to hit £30m from here 2026.

Founder and Managing Director Philip McMichael said, “This acquisition makes us a stronger company in a highly competitive market.

“Our expanded team will be extremely valuable to us as we pursue our ambitious growth plans.”

The takeover of MML was financed by the MML Growth Capital Partners Ireland Fund II, a €145 million fund backed by British Business Investments, AIB and a number of international institutional investors.

The same fund was used to acquire recycling company Co Antrim Natural World Products in a £20million deal last August.

Philip McMichael said: “MML not only shares our ambitions for growth, but also our philosophy of sustainability and our commitment to developing the circular economy.

LR: Neil McGowan, Partner and Co-Head of Investments, MML; and Philip McMichael, CEO and Founder, Vyta Group.

“Funding, along with their knowledge and experience, will be essential for us as we embark on our strategy to consolidate the UK and European ITAD market.”

Neil McGowan, Co-Head of Investments at MML Growth Capital Partners Ireland, said: “The European ITAD sector is a fast growing but fragmented market which presents a significant opportunity for the Vyta Group.

“We are impressed with the company’s management team and their track record of growing the business to date, which, together with MML’s investment and support, optimally positions Vyta as a consolidator on the market.”