Cafeology, the Sheffield-based coffee importer, roaster, and distributor specializing in sustainable and fair trade coffee, has completed a partial management buyout (MBO) that grants a majority stake to its senior managers. The deal, which secures the company's long-term future, also enables founders Andy McClatchey and Bryan Unkles, along with shareholder Toni Unkles, to realize value from the business.
MBO Team and Funding
The MBO team is led by Steve Hampshire, head of coffee, and Joe Cross, head of operations—two individuals widely credited with driving Cafeology's growth and reputation over the years. Partial funding for the transaction came from the South Yorkshire Debt Fund, managed by FW Capital on behalf of the South Yorkshire Pensions Authority. This fund is designed to improve access to finance and fuel economic growth across the region.
Alex Gent, senior investment executive at FW Capital, commented: "Businesses like Cafeology are a fantastic example of the strength in South Yorkshire. We're excited to back a highly experienced and ambitious management team and look forward to supporting Steve and Joe's growth journey moving forward. The South Yorkshire Debt Fund has been designed to improve access to finance and fuel economic growth across the region. This is exactly what the team at Cafeology needed and it is helping them to realise their ambitions and drive forward business success."
Founders' Perspectives
Bryan Unkles, founder of Cafeology, said: "The partial MBO allows us to continue with the ethical culture created across the business since our formation in 2003, guaranteeing a clear vision for the future. It remained integral that we continue to operate from our home in Yorkshire, safeguarding the future of all the amazing people behind the company along with our external stakeholders. This exciting new chapter will not only underpin Cafeology's future as an independently owner-operated UK business but also enables sustainable growth with great involvement of the people who have assisted myself, Andy and Toni over many years. Our journey as a best-in-class coffee company is far from over, and appointing both Steve and Joe to the board will expand our creative thinking further as we continue to build on the solid foundations created over the last 23 years."
New Directors' Aspirations
Steve Hampshire, now a director and shareholder, expressed his enthusiasm: "After thirteen fantastic years with Cafeology, I am incredibly proud and excited to have become a Director and shareholder. I'm truly grateful for the opportunities and support I've received throughout my journey, and I look forward to contributing to the continued success and future growth of the company." Joe Cross, also taking on a board role, joins Hampshire in leading the company into its next phase.
Advisory Roles and Legal Support
Hart Shaw Corporate Finance advised the shareholders of Cafeology Limited on the sale. Patrick Abel, corporate finance partner at Hart Shaw, noted: "We have been delighted to advise Andy, Toni and Bryan on this transaction. It is particularly gratifying given my long-standing relationship with Bryan, dating back to the very early days of the business in 2001. To have been entrusted with guiding the Company through this significant transition is something we are very proud of. We wish Steve and Joe every success as they build on the outstanding foundation Cafeology represents today."
Legal advisers for the sellers were Taylor Emmet, while Dawson Radford acted as legal advisers to the MBO team.
Company Legacy and Market
Founded over two decades ago, Cafeology has established itself as a pioneer in fairtrade, ethical, and sustainable coffee sourcing. Its diverse customer base includes universities, major sports venues, independent coffee retailers, cafes, and restaurants across the UK. The company's commitment to ethical practices has been a cornerstone of its identity, and the MBO ensures that this ethos will continue under the new leadership.
Andrew Stone, assistant director of Investment Strategy at South Yorkshire Pensions Authority, added: "The SYPA team is delighted to be able to support local businesses like Cafeology whilst getting the returns we need to pay our pensioners. We look forward to hearing about the company's future developments and drinking its coffee."
Impact on Regional Economy
The partial buyout is seen as a boost to the South Yorkshire economy, demonstrating the region's capacity to nurture and sustain businesses with strong ethical foundations. With the backing of the South Yorkshire Debt Fund, Cafeology is poised for continued growth while remaining independently owned and operated in Yorkshire.
