Farleys recently represented the owners of N R Automatics (Engineering) Limited in the sale of the company to members of its management team in an MBO. The deal was awarded Insider North West’s deal of the month for July.
The deal, which was completed for an undisclosed sum, was finalised in July. Specialising in turned components for use in equipment including hydraulics, gearboxes and valves, the business supplies earthmoving equipment manufacturers, the medical industry, aerospace and oilfield equipment manufacturers.
NR Engineering, which was established in 1977, and now boasts a 25,000 sq ft UK facility on Skipton Road in Colne, has a turnover c. £6million and 86 staff.
The newly established NRA Engineering Group Ltd will now be owned by a management team consisting of Martin Hardisty, managing director, and Mark Stinchon, operations director.
Debbie King acted for the sellers and was assisted in the property aspects of the sale, by Stephen Greenwood.
Debbie commented on the MBO:
“The previous owners, who we have worked with for a number of years, wanted to hand over ownership to their management team without over burdening the company; to enable it to continue to grow while paying the sale proceeds to them. As such, it was vital that the deal was structured in a way that took account of the needs of all parties.
“The MBO worked well in this deal – it is great to see the firm being passed on the next generation – we hope the new directors will take the company from strength to strength”.