Nimbus has acquired the Centrifugal Castings Division of Doncaster’s Group for an undisclosed sum.
The division comprises Teesside-based Paralloy and Sheffield-based FVC which both provide specialist engineered products that service domestic and international markets in the petrochemicals, and aerospace industries respectively. The division employs 249 staff.
Nimbus has backed the senior management team, led by chief executive Robert McGowan, to acquire the business and will use its pan European footprint to support Paralloy and FVC’s growth and export plans.
Investment Director at Nimbus, David Keenan, who led the deal, said: “Paralloy represents a great example of UK manufacturing despite these uncertain economic times.
“The combination of a strong management team, market leading products and stated growth ambition provides the perfect setting for Nimbus to invest.”
Nimbus is an investor which focuses on non-core carve outs and companies requiring operational and strategic support.
Paralloy chief executive Robert McGowan commented “This is good news for our business.
“We are delighted to be working with Nimbus, we believe their background and expertise complements our strong management team and we have a partner that understands us, our business and is excited about our future.
“We continue to focus our efforts on building on the great British brands of Paralloy and Firth Vickers Centrispinning (FVC) with renewed vigour, investment and a commitment to deliver best in class products and services to our customers worldwide.
“This transaction will enable us to uniquely position Paralloy and FVC for more growth, expanding our portfolio, capabilities and market reach.”
Nimbus UK Chairman, Chris Clegg added: “I’m delighted that our differentiated UK proposition is attracting large corporates to choose Nimbus.”
Nimbus was founded in 1999 with the aim of investing in industrial companies requiring both capital and management support. Nimbus, which has an office in Leeds, employs a team of more than 20 professionals who help management improve their business.
Sentio Partners acted as lead financial adviser. Addleshaw Goddard, Eversheds Sutherland, Squire Patton Boggs, Gateley Plc, Freeths and Ward Hadaway provided legal advice to various parties. Arbuthnot Commercial Asset Based Lending and Santander UK Plc both provided funding and banking support. BDO provided tax structuring and diligence advice.