Stonbury secures further LDC investment for buy-and-build

Bedfordshire-based water and environmental sustainability specialist Stonbury has secured a further round of investment from private equity firm LDC, with lower mid-market investor Federated Hermes joining as a minority co-investor.

The backing follows LDC's original investment in Stonbury in December 2022 and will support the company's buy-and-build strategy alongside continued investment in its people and services. Terms of the transaction have not been disclosed.

Stonbury maintains, repairs and refurbishes critical water infrastructure, from drinking water provision to wastewater treatment.

In the four years since LDC first invested, Stonbury has grown revenue by 74 per cent to £78 million and increased headcount from 281 to 443 people across ten locations. The company has broadened its offering beyond clean water into wastewater, environment and technology-enabled services, and now holds work across 37 customer frameworks, up from 25 at the time of the initial investment.

In 2024, Stonbury acquired Panton McLeod, an inspection and cleaning specialist, adding 50 staff and strengthening its end-to-end water asset capabilities.

The business has also expanded its management team, appointing Chief Executive Colin Perry-Davis and Non-Executive Director Sarah McMath. They work alongside non-executive directors Ian Burnett and Trevor Hoyle, who led the business at the time of LDC's 2022 investment and retired in 2025. Stonbury has additionally made progress towards its commitment to cut Scope 1 and 2 emissions by 50 per cent by 2030.

Colin Perry-Davis, Chief Executive of Stonbury, said: "This is an exciting moment for Stonbury. The foundations we've built position us well for the opportunities ahead and we're focused on delivering sustainable solutions that help our customers protect water supplies and assets while managing the wastewater and environmental challenges they face."

"With LDC's continued backing and the support of Federated Hermes, we have the firepower to pursue both organic growth and strategic acquisitions in a market where demand for our services continues to grow."

Trevor Hoyle, Non-Executive Director of Stonbury, said: "Stonbury has successfully grown over the last four years, and LDC's partnership has been instrumental in our growth. I'm delighted to see the business fulfil its potential and I'm sure it will go on to deliver further growth."

The transaction was led by David Bains, Partner and Head of East Midlands and East of England at LDC, alongside Investment Executive Lucy Lagrosse.

Bains said: "Stonbury has delivered impressive growth over the past four years whilst simultaneously building a stronger operational platform. It is now well-positioned for future growth in a market driven by increasing regulatory requirements. We have already identified a number of potential acquisition targets and are looking forward to continuing to support Colin and his team through this next phase."

Cameron Payne, Co-Head of European Investment, Private Equity at Federated Hermes, said: "Stonbury plays a crucial and growing role in ensuring that essential water infrastructure remains safe, resilient and efficient. The business is closely aligned with our lower mid-market focussed strategy and our resource resilience investment theme."

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