In a recapitalisation and growth capital financing deal worth over £100 million, HSBC Private Equity has taken a substantial minority stake in ColArt, the world's leading supplier of artists' colour, brushes and other materials. The banking arrangements of the group, have also been reorganised and underwritten by Merita-Nordbanken.

Controlled by the Becker Group of Sweden, ColArt owns the long established brands of Winsor & Newton in the UK and Lefranc & Bourgeois in France. It is also a major supplier of educational and craft colours, principally through the brands of Reeves, Colour & Co. and also Lefranc & Bourgeois.

The group, which employs over 1450 staff, manufactures its products in six factories predominantly in the UK and France. Since 1998, the group has also had manufacturing facilities in China through a joint venture. Turnover is currently in excess of £90 million from 120 countries throughout the world.

Michael Henderson, Chief Executive of ColArt, said: "The deal gives ColArt the financial resource to consolidate and build upon its position as a leading global player. It also allows it to implement aggressive growth plans in the educational and craft colour market".

Nigel Hammond, Director of HSBC Private Equity, commented: "We are pleased to be backing an excellent management team. Traditionally a local specialist market, there is a great deal of consolidation and globalisation in the arts materials industry. We believe ColArt is the best placed company in this market to take advantage of these developments."