Chamberlin secures automotive supply deal worth £5.3m

WALSALL-based foundry group Chamberlin has won a major new contract with an unnamed automotive firm which will be worth more than £5m to the business over the next four years.

Chamberlin has signed the contract with a leading European automotive components and parts supplier following a successful competitive tender. The deal is worth £5.35m (€6.7m) over the course of the contract.

The contract, for the supply of turbo charger bearing housings for diesel engines in passenger cars, begins on January 1, 2015 and is expected to contribute revenues of £1.28m (€1.6m) in its first year.

The contract win underpins current market forecasts for Chamberlin.

Chief executive Kevin Nolan said: “I am delighted to announce this major contract win for our Walsall foundry. It demonstrates the foundry’s ability to compete on a truly global footprint in its specialisation – the design of small castings with complex internal passages produced in high volumes.”

The company expects to announce its half year results for the six months to September 30 on November 25.