£11m support deal helps secure 200 jobs in engineering factories
Praetura Commercial Finance, the Manchester-based asset-based lender, has supported Evtec Aluminium’s acquisition of Liberty Aluminium Technologies with an £11.4m facility.
Praetura structured and delivered the £11.4m asset-based lending (ABL) facility to enable David Roberts, chair of Evtec Aluminium, to acquire factories in Coventry and Kidderminster which produce aluminium castings.
The acquisition, which will become part of the recently founded Evtec Aluminium, will secure the future of almost 200 highly skilled jobs in the West Midlands, and will crucially keep the production of these aluminium castings within the UK.
The business will supply a range of lightweight aluminium castings – parts used for car powertrains that convert engine power into movement – to major automotive manufacturers in the UK. The production of lightweight aluminium castings is a key component for the automotive industry as it transitions to net zero.
Evtec Aluminium is a sister organisation to automotive supplier Evtec Automotive, which is responsible for the turnaround of Arlington over the past two years. Both are chaired by David Roberts, who has more than 40 years’ experience in manufacturing, particularly in the automotive and aerospace sectors.
Stuart Bates, commercial director of Praetura Commercial Finance, said: “We were delighted to work with David again. It was great to see so many jobs saved in a UK-based industry with so much potential.
“The Praetura team focuses on how finance can help entrepreneurs achieve their goals and we’re pleased we could help with such a fast turnaround acquisition.”
David Roberts, chair of Evtec Aluminium, said: “This was a truly remarkable transaction supported by the team at Praetura Commercial Finance. In my 40 years’ experience of mergers and acquisitions, the Praetura team are the most supportive and flexible I’ve come across, their help during the transaction process was essential.
“The future is bright for Evtec Aluminium, and we look forward to playing an important part in facilitating the industry’s transition to electric and hybrid vehicles, which is a critical driver for the UK’s net zero carbon ambitions.”
Praetura Commercial Finance reached a significant milestone earlier this year, having successfully funded £1.5bn of assets to date since its launch in 2016.
Squire Patton Boggs advised David Roberts on the transaction, while Thrings advised management.