Forest Group acquired by facilities management service provider Mitie

Blackburn-based refrigeration specialist Forest Group Holdings has been acquired in a deal worth potentially £7m by facilities management and service provider Mitie.

Multi award-winning business Forest Group is widely respected for critical refrigeration maintenance across hospitality and related sectors, with operations spanning the North of England, Midlands, Wales and Scotland.

The deal comprises an initial payment of £4.5m and deferred payments of up to £2.5m over three years linked to performance.

Mitie said the acquisition aligns with its market-leading “Intelligent Engineering” proposition, enabling the group to integrate refrigeration assets into Building Management Systems for smarter monitoring and predictive maintenance.

Forest’s leadership team will continue to run the business day-to-day, preserving its culture, standards and service model, a key attraction for Mitie as it looks to scale specialist engineering nationwide.

Forest Group has described the move as “one of the most significant milestones in its history”, emphasising continuity for customers, suppliers and colleagues and the opportunity to grow capabilities alongside Mitie.

Andrew Fraser, who moves into a new operations director role at Mitie, said the acquisition marks a moment of pride and momentum for the Lancashire firm.

He said: “We may no longer be family owned, but we remain very much family run, the same team, the same values and the same commitment to doing things the right way.”

He added that the move is “not about leaving something behind” but about taking Forest’s culture, high standards and passion for quality into brighter future within Mitie’s national platform.

The acquisition underscores the growing strategic value of specialist engineering firms from Lancashire, and places a Blackburn success story at the heart of a national facilities management powerhouse.

For Forest, it provides new scale, investment and reach while safeguarding the identity that has made Forest Group a trusted name across the UK for three decades.

Forest specialises in the installation and maintenance of commercial refrigeration systems, primarily serving major hospitality brands such as Mitchells & Butlers, Greene King and Wetherspoon.

It delivered revenue of £7.6m and EBITDA of £0.5m in the 12 months ending 31 January 2025. The acquisition will be funded from Mitie's existing facilities.

For London-based Mitie, it adds deep, award winning refrigeration expertise at a time when integrated, energy-efficient asset management is moving centre stage for retail, hospitality and distribution customers.

Adam Mitton, technical services operating officer, Mitie said: "We are delighted to welcome the Forest team to the group.

"As our customers' needs for Integrated Facilities Management continue to grow, the acquisition of Forest brings a scaled workforce and specialist engineering capabilities that unlocks Mitie's ability to self-deliver critical refrigeration engineering services across our clients' estates.

"Integrating refrigeration assets into our Building Management Systems (BMS) will enhance the data-driven smart monitoring and predictive maintenance of these critical assets for our customers."

The deal was led by Corporate Finance partner David Simmons and Ed Higham of Cowgills. Tax support was provided by Georges Daubney and Claudia Harrison of Cowgills. Legal support was provided by Richard Robinson and Ben Mayson of Napthens.