Baroness, as the private equity consortium called itself, paid approximately £1.9bn for Debenhams back in December 2003, of which £600m was funded by equity and the rest was borrowed from the banks.Much of this debt was quite quickly paid down by selling freehold stores and leasing them back. The supply chain was also tightened up, releasing working capital, and heavy investment by the previous regime meant that the capital expenditure taps could be turned down to the point where the whole business became a lot more cash generative. This might seem reasonably to justify some sort of a premium to the price paid, but whatever risks these people took when they bought the company and however much blood, sweat and tears they have expended on it since scarcely seems to explain the jaw-dropping 400 per cent return private equity will see on its money once the company has successfully been listed again.
How is this possible? How could the company’s previous generation of shareholders have been such chumps to sell at such a severe discount to the company’s true value, and perhaps more to the point, having sold so cheaply are they really prepared to make themselves look doubly stupid by buying expensively in next month’s IPO? The answer to the last of these questions, I regret to say, is probably yes.As for the first, it’s called financial engineering, and it works like this. Little more than two years ago, Debenhams was taken private by a consortium of private equity players which has since managed the business well, if unspectacularly, to deliver a decently sized uplift in sales and earnings.

Investors thinking of selling out of BAA at anything less than £10 a share should take one look at Debenhams, which yesterday announced plans to refloat on the stock market, and think again. The company, based in Leighton Buzzard, Beds, produces annual turnover of £2.5m to £3m and employs 60 people.UltraWave lenses are now for sale, priced like standard disposable contact lenses, at most opticians in Britain and are also available in more than 20 countries.Julia KolleweThe roll of honourINTERNATIONAL TRADE20 Essex Street; Abbey Masterbatch; Aerotron; AIRCOM International; Albourne Partners; Allam Marine; aura Corporation UK.Baillie Gifford Overseas; Capital Valves; Ceramicoat Tunnel Linings and Coatings; The Change Group International; Colchester Global Investors; ColorMatrix Europe; Conseco International; Corus Special Profiles; Craig Group;John Crane UK, Turbomachinery Division; DSG international; Dage Precision Industries; Data Connection; Jeffrey Davies and Davies; Diagnostic Monitoring Systems; Diamond Consulting Services; Dorset Cereals; Dyson James; The European Lawyer; FT Technologies; Falmouth Fishselling Company (Falfish); Fastalloys; FilmLight; Fintec Crushing & Screening; Firmdale Hotels; Forest Press Hydraulics; John Foster of England; Gooch & Housego; Goodwin Steel Castings; Graff Diamonds International; Grafton Recruitment International; Grant Macdonald (Silversmiths); Guidance Navigation; James Halstead; Peter Hambro Mining; Hatsu Marine; The Henley Management College; Hughes Safety Showers; IDTechEx;Immunodiagnostic Systems; IXEurope; JCB Earthmovers; JCB Heavy Products; Keymat Technology t/a STORM Interface; KeyMed (Medical & Industrial Equipment); Langtec; Law Business Research; John Lawrie (Aberdeen); London College of Accountancy; Malvern Instruments; Melett; Meritmill; Micron Sprayers; Mondrian Investment Partners;Orange Music Electronic Company; Oxford Diffraction; Penta Consulting; Phosyn; Photonic Products; Playtop; Polymeters Response International; RFI Global Services; RJH Tradin; Radnor Hills Mineral Water; John Reid & Sons (Strucsteel); SRK Consulting (UK);Sangenic Internationa; Shape Technology; Sondex; Spectrum Technologies; St Peter’s Brewery; Star Syringe; StatPro Group; TRB; TRP Sealing Systems; Thermacore Europe; The University of Nottingham; Victrex;Wagtech International; Walker Filtration; William Data Systems; F G Wilson (Engineering); Wogen Titanium.INNOVATIONACO Technologies; AD Holdings; AESSEAL; Angel Technology; Ardmel Automation; Atlas Copco Construction & Mining; Balcan Engineering; Bells of Lazonby; Berghaus; Biocolor; Bradley Doublelock; Citation; Contact Lens Precision Laboratories t/a UltraVision CLPL; Doyle & Tratt Products; ELG Haniel Metals; e2v technologies Imaging Sensors Group; EnviroSystems (UK); Exasoft FT Technologies; Fox Brothers & Co; Glencairn Crystal Studio; Greenvale AP; Hadley Industries; Haldane (UK); Halyard (M & I); Hambleside Danela; Kensington Mortgages; Lifelines; MCL Software; mmic eod; MSA Engineering Systems; Multimedia Mapping t/a Multimap ; Precision Polymer Engineering; Reid Lifting; Renishaw; James Robinson; Safe and Sound Lighting; Siemens Communications;Smiths Aerospace – Electronic Systems, Cheltenham; Spinnaker International; Tilsatec, a Division of Sirdar Spinning; Timsons; Ulster Carpet Mills (Holdings); Velux Company; Waterside Manufacturing t/a Englands; Whitbybird; Wolfson Microelectronics; E Wood.SUSTAINABLE DEVELOPMENTEco Arc: Ecological Architecture Practice; North of England Zoological Society (Chester Zoo); Alastair Sawday Publishing; ScottishPower Renewables; Shepherd Neame; Traidcraft; Yeo Valley Farms (Production).LIFETIME ACHIEVEMENT IN ENTERPRISE PROMOTIONDavid RoweACHIEVEMENT IN ENTERPRISE PROMOTIONJohn Anderson CBE; Derek Browne; Janet Brumby; Walter Herriot OBE; Jason Holt; Dr Bryan Keating; Prof David A Kirby; Amanda Parris; Peter Westgarth.. The lenses can be worn for longer periods and are easier to fit than others. The technologies were also designed to be incorporated into all types of contact lenses, including bifocal and multifocals.The new technology has helped group sales grow fivefold over the past few years, and has been licensed to several mainstream contact lens companies in Europe and Asia. Similar to laser eye surgery, the lenses offer the benefits of advanced wave front vision but without the risk of going under the knife or laser. We need to encourage people to realise the greater benefits of improving their own vision first.”The company’s UltraWave disposable contact lenses include wave front technology.

The firm’s patented SAM and UltraWave technologies have improved the lens surfaces using a combination of advanced mathematical techniques to provide levels of vision not experienced before, it claims.Mr Lomas, the 35-year-old chief executive and a former City banker, said: “It’s amazing how much people spend on new high-definition televisions, mobile phones and monitors without even considering their own vision. They won a Queen’s innovation award for developing advanced contact lenses that give clearer vision and healthier eyes. Perhaps more surprising is the increase in the South-west region by six awards on last year.”School friends with an eye on successUltraVisionUltraVision CLPL, the largest independent manufacturer and supplier of contact lenses in the UK, was founded by two former school friends, Keith Lomas and John Clamp. Tied in fourth place were the North-west and Yorkshire & the Humber.Mr Moore said: “That’s no surprise because of the concentration of companies in London and the Southeast. It was granted a sustainable development award for sourcing its ingredients locally and for clean and green beer production and distribution.Software and other IT-related companies did well this year, including Multimap which produces millions of maps online at high speed and low cost. Financial services and legal firms also stood out, including a London firm of barristers called 20 Essex Street, which won an international trade award for nearly doubling its export fee income over six years. The education sector produced several winners including the University of Nottingham, which won an award for the second time for doubling its overseas revenues to £53m in six years.Geographically, London came top with 28 awards, followed by the South-east with 22 and the South-west with 15.