Scaffolding reaching new heights
A Wolverhampton company has been on the takeover trail, acquiring a new business in a move that creates a £20 million construction products supply group.
Metal Spraying is a leading Midlands manufacturer and supplier of construction equipment, based in Wolverhampton, and supplies two of the UK’s main scaffolding companies.
It has recently acquired Cannock-based Scaffolding & Construction Products (SCP) from the Alumasc Group, in order to continue to expand its national foot print. SCP has established itself as a leader in its field as a supplier of non-mechanical construction equipment both in the UK and internationally.
This deal created one of the largest construction product suppliers in the UK with a group turnover in excess of £20 million.
The deal was funded by HSBC and arranged by Partho Bose, senior relationship manager. HSBC area director for business banking in the Midlands, Steve Peart, said: "HSBC has a £10bn fund to support SMEs in the UK and we are committed to helping British businesses like Metal Spraying take the next step in their business ventures. We look forward to our continued work with Metal Spraying and to seeing the business grow over the coming years."
Legal support was provided by Dudley-based corporate law firm Hawkins Hatton and partner Colin Rodrigues said: "On the face of it, a deal of this kind looks simple, however it is always challenging to ensure that the commercial negotiations fully address the legal risks involved for both parties. I was pleased that we covered both of these bases and still delivered the deal within a very tight timeline for both the bank and Metal Spraying."
Ranjit Dale of Metal Spraying said: "This deal will generate additional business and employment opportunities within the Wolverhampton area, which is extremely important to a local company such as ours. This demonstrates why the Midlands is the beating heart of UK manufacturing."
The move has also been welcomed by industry bosses at Wolverhampton council whose business growth team helped to seal the deal. Wolverhampton Council deputy leader Councillor Peter Bilson said: “It is excellent news for the city and the Black Country, in terms of investment and jobs, to see Metal Spraying (UK)’s growth.
“It demonstrates the business environment in Wolverhampton remains buoyant.
“There is an excellent business support structure in the Black Country accessed through a wide-range of partners and programmes such as the AIM programme.”
