The management team of flexible workspace operator Orega have completed a buyout of the business backed by Apiary Capital.
The private equity firm, which is taking a majority stake in the business, has funded the buyout led by Orega CEO, Alan Pepper, together with Orega’s executive management team: Chris Toon (CFO), David Kinnaird (COO), Sophie Turnbull (chief revenue officer) and Ben Hutchen (real estate director).
Orega founders Zach Douglas and Paul Finch will remain investors in the business with Douglas stepping down from his position of executive chairman to become a non-executive director.
The new investment from Apiary Capital will provide Orega with resources, expertise and governance to build on its existing model and enable it to continue its growth plans with greater speed and scale, including expanding into new locations.
Established in 2001, Orega operates circa 675,000 sq ft of space across 25 centres across the UK, including eight in London, through management agreements with landlords and corporate occupiers. The company aims to expand to 50 sites by 2031, with a continued focus on London, the other ‘big 6’ UK cities and some specific regional markets.
Pepper said: “This strategic investment marks the beginning of a new chapter for us, taking a successful founder-built business onto greater opportunities. We are excited to partner with Apiary Capital which will back the management team to accelerate growth while preserving our entrepreneurial culture, customer focus and the long-term relationships with landlords and business occupiers that have defined our business to date.”
Isabella Boman-Flavell, investment director at Apiary, added: “We are excited to be working with Alan and his team. The flexible office market is experiencing strong and sustained growth as businesses move away from rigid long-term leases to flexible options that are better suited to support hybrid teams and manage real estate risk. Based on its excellent reputation with both landlords and tenants, we believe Orega is well positioned to meet these evolving market needs. We look forward to supporting the management team through this next phase of growth.”
Orega was advised by Rothschild & Co, Pinsent Masons, CIL and Grant Thornton. Apiary Capital was advised by Alvarez & Marsal, Browne Jacobson, Teneo, RSM and Rothschild & Co.
