Encore Capital has sold UK Heating Group (UKHG), to Irsap, an Italian manufacturer of heating and air-conditioning products.

Deal value was undisclosed but it is understood that Encore has secured 4x money from the sale.

Established in 1998, UKHG is the UK’s largest independent distributor of design-led radiators to the plumbing and heating merchant market. The company owns “The Radiator Company”, “Supplies4Heat”, and “Clyde” brands.

Encore first backed the company in 2006, funding an MBO led by managing director Marcus Orchard. Since then UKHG has negotiated the downturn in the building products sector in the years following the financial crisis and has continued to grow earnings.

For Israp, the acquisition of of UKHG allows the company to enter the UK and Irish markets.

UHKG shareholders were advised by Catalyst Corporate Finance and Squire Patton Boggs.

Encore Capital is based in London and invests between £1m and £10m in entrepreneurial growth companies. The firm has more than £60m of committed funding.