Goldman Sachs sinks £75m into Derby modular firm
Investment banking giant Goldman Sachs is investing £75m into modular housing business TopHat.
The company, which manufactures housing offsite in its factory in Derbyshire, was set up two years ago by American entrepreneur Jordan Rosenhaus.
In a statement, the firm said: “TopHat is pleased to announce the closing of a £75m investment by Goldman Sachs to help expand and scale the business.”
The news of Goldman Sachs’ investment will be a major boost to the emerging offsite sector.
Mark Farmer, CEO of Cast Consultancy, said his business had played “a key role in making this deal happen”.
He described it as “a major industry milestone in bringing design quality and technology-led pre-manufactured homes into the mainstream”.
TopHat, which has its registered office in London, will complete its first homes at Kitchener Barracks in Chatham, Kent, in the second quarter of this year.
The company says it has a consumer focus to its housing delivery, which “puts the user back in control of design”.
“By offering an infinite range of home types that can be customised internally and externally and a range of choices for fit-out and furnishing, our customers can build on TopHat’s uncompromising design principles to realise their vision.”
It says it provides “end-to-end services for new developments”, using an “integrated value chain of software, design innovation and sophisticated supply chain logistics”.
Commenting on the deal with Goldman Sachs, Jordan Rosenhaus, CEO of TopHat, said: “We are incredibly excited to have Goldman Sachs as an investor in TopHat. This transaction is a sign of the tremendous progress TopHat has made since it was established and the significant market opportunity in the housing and digital construction sectors in the UK. We look forward to engaging with our key clients and stakeholders to partner in delivering more of the high-quality, good value homes that the UK so badly requires.”
Tavis Cannell, managing director at Goldman Sachs, said: “TopHat’s technology-driven approach has the potential to make a significant impact on the UK’s housing shortage. Their speed, efficiency and high standards make them uniquely positioned to drive critical change in the way the industry currently operates and improve the housing supply chain. We look forward to supporting their continued growth.”