Non-dilutive funding provider Capital Step funds the management buy-out of Brightwater


Capital Step has successfully funded the management buy-out (“MBO”) of Brightwater (the “Company”), a leading independent recruitment consultancy with offices in Dublin, Cork and Belfast. The Company provides permanent, contract and executive search and selection services, with a focus on professional services.

Brightwater was founded in Dublin in 1998, originally specialising in accountancy placements. Today, its professional services offering covers 14 disciplines and the Company has won numerous industry awards, including the prestigious “Agency of the Year” award from the National Recruitment Federation in 2016.

Capital Step funded the Brightwater MBO alongside a senior debt facility from Bank of Ireland. Capital Step’s permanent capital took the form of a non-dilutive revenue-linked “Royalty Finance” investment, serving as an attractive alternative to traditional private equity. The Brightwater transaction also represents the second Irish MBO completed by Capital Step in as many months, having funded the recent Management buy-in/buy-out (“BIMBO”) of BHP Insurance.

Jonathan Schneider of Capital Step commented:

“We’re very pleased to be backing the Brightwater management team, who we established a great working relationship with from day one. They have not only managed to successfully build a highly respected business in the Irish market but also have a clearly defined strategy, focused on taking advantage of favourable macro conditions, as well as their best-in-class reputation.

We look forward to helping them grow from strength to strength as their long-term capital partners.”

Barbara McGrath, Brightwater MD added:

“Jonathan took the time to meet the team and understand our business model which made the whole process seamless from our perspective. From our first meeting, Capital Step understood our objectives and felt like the perfect funding solution to support our ambitious growth plans.

The team’s attention to detail and clear communication meant that we felt very supported from beginning to end. We look forward to forging a long relationship with Capital Step and I would have no hesitation in recommending their innovative funding solutions to other companies seeking capital.”