Ambitious licensed bedding company Character World is on track for further growth following a management buy out led by private equity house RJD Partners which values the firm at some £20million.

The deal sees co-founder and chairman Tommy Schweiger selling his stake in the business, which he founded in 1998. His sons, Danny and Mark, will continue to run the Manchester-based business, while Tommy will be involved as a consultant.

The deal has been financed through a combination of management reinvestment, funds managed by RJD Partners and banking facilities provided by The Royal Bank of Scotland.