09 Mar OMMG founder & CEO Feisal Nahaboo receives £50m+ offer to build unique overnight multiple merger model for private equity investor
Visionary businessman and founder of the OMMG (Overnight Multiple Merger Group), Feisal Nahaboo has received offers of over £50million from major private equity firms to build another pioneering business, using the ground-breaking Overnight Multiple Merger Model (OMMM) business model for which he is famed.
Entrepreneur Feisal Nahaboo has received offers of over £50million from a private equity investor to build a new business based on his ground-breaking Overnight Multiple Merger Model (OMMM).
His company OMMG (Overnight Multiple Merger Group) and the as-yet undisclosed private equity investor are said to have come to an agreement with heads of terms currently being drawn up.
While specific details cannot currently be made public due to reasons of commercial confidentiality, it will be Nahaboo’s fourth OMMM and is projected to have a £100million-plus turnover by the close of this year.
Nahaboo’s Overnight Multiple Merger Model facilitates the consolidation of large numbers of successful individual companies in record time, in order to drive up standards and profits in saturated and fragmented industries such as pharmacy, accountancy and care homes.
OMMMs are low-risk, and offer high PAT (profit after tax). Nahaboo’s very first OMMM gave rise to the leading 122-accountancy firm consolidation, Xeinadin, formed on 1st June, 2019.
After a process spanning just 256 working days, not only did equity partners receive significant pay outs on private equity investment but they also saw business valuations treble that of the industry standard.
Recently, as reported by the Irish Times, Xeinadin announced a highly lucrative private equity investment by Exponent, taking Xeinadin’s value to over £300million—an astonishing achievement, considering the short number of years they’ve been operating.
Nahaboo’s second OMMM, Alitam—the 100-plus pharmacy group with a multi-billion-pound vision to be the ‘Pharmacy of the Future’—was formed in November 2019
It is helping to deliver a first-of-its-kind national preventative healthcare system by offering a wide range of clinical services instore, and already boasts turnover in excess of £110million.
His third OMMM, Merios—the consolidation of over 35 high-quality care home groups—has a mandate to drive up standards in the sector through harnessing the latest technology, and by incorporating best-practices across the group.
Merios is currently in the process of being built and projects £100million-plus turnover, £25million EBITDA and a business valuation of over £250million by the close of this year.
Nahaboo says that following the success of Xeinadin, businesspeople and investors have been flocking to OMMM because of the significant benefits it offers over the traditional franchise model.
He said: “Since the Xeinadin-Exponent announcement, I’ve been inundated with interest in building a fourth and fifth OMMM.
“Indeed, I have a serious offer to build a fourth £100million-plus turnover OMMM firm by the end of 2022. We expect this to yield a mouth-watering EBITDA value rivalling what I achieved with Xeinadin.
“I can’t disclose the investor, industry or details of our methodology—OMMMs are always built under the cloak of full secrecy until consolidation, or a fairly developed stage of proceedings.
“Every single Xeinadin equity partner was required to sign non-disclosure agreements, for example, so as to protect the innovative strategy.
“But I can tell you that people are flocking towards this model because of the very unique benefits it brings.
“The OMMM allows for a level of innovation and cross-fertilisation not possible with, say, a franchise prototype. It delivers high profits from the start, has minimal set-up costs and no debt on consolidation.
“And it offers outstanding returns. On entering consolidation, the OMMM is able to double or treble the value of all business subsidiaries as they form a large platform in a saturated and fragmented market.
“Highly skilled operators run the business from the start, and there’s an inbuilt community too, which fosters vital peer-to-peer learning, cross-fertilisation of ideas and speedy implementation of new technology and service lines.
“Franchisees, on the other hand, are often start-ups with no profit or, worse, they’re already in debt. They’re likely to need a head office earlier on, incurring significantly higher costs than an OMMM.
“And, while a franchisee entering their model starts to plan for value, this can take many years to build.
“Crucially, they’re unlikely to liaise with other franchisees regularly. They’re usually guided by head office, which cannot pass on important know-how. They cannot benefit from the business benefits of community, or the knowledge bank built by peers, which is the lifeblood of the OMMM.
“The Exponent investment in Xeinadin is a ringing endorsement of my OMMM, and the paradigm-changing businesses it gives rise to.”
It’s clear that, after 20 years of pioneering accountancy practices which have driven up standards, Nahaboo enjoys an enviable reputation for both his integrity and the boldness of his vision.
He’s known within the business sector for his honesty and trustworthiness, and his ability to ‘herd’ and engage large groups of independent companies in record time—highly coveted qualities in the worlds in which he operates.
Simply put, strangers trust him and he always strives to over deliver, like he did with Xeinadin.
Nahaboo added: “I approach everything with a forensic eye for detail, which instils great confidence in investors from the start.
“I devise meticulously thought-out strategies, so that, no matter how ground-breaking the vision, the foundations are incredibly strong.
“I also love building momentum and cohesion, building a shared set of values and a shared culture—all of which are vitally important to the success of any business, especially one built at speed.
“Investors tell me that this route is a ‘no-brainer’, an alternative to the usual approaches which are a slow burn, with higher risks involved.
“With this fourth model, I’m confident we will break new ground and contribute to an overall growth and upsurge in confidence in the UK economy.”
Further details of the fourth and fifth OMMM will be revealed later this year.