Multimillion-pound refinancing deal for manufacturing and supply chain specialist
A Rugby-based specialist manufacturing and supply chain advisory group has secured a £5.5m finance package to support its growth nationwide.
The funding will enable Sirius A Corporation to consolidate its position as one of the UK’s largest outsourced suppliers of laser cutting, fabrication, precision machining and supply chain solutions services.
It will also allow directors Bill Boswell and Ben Cufley to complete the management buy-in they began in 2018.
Sirius, which now employs 160 staff at six locations, was founded in the 1970s when it made one of the first laser cutting machines in the UK.
The business has grown steadily over the years as a result of increasing demand for low volume, high precision components used in industries such as cleantech, aerospace and non-automotive vehicle electrification.
As a result of a successful buy and build strategy, it operates under a number of different brands. They include Sirius Supply Chain Solutions and Precision Laser Processing in Rugby, Intec Project Engineering in Redditch, Laser Process in Cannock, Quality Components in Pontefract, LaserIT in Bristol and Essex Laser Job Shop.
Ben Cufley, chairman of Sirius A Corporation, said: “This investment marks an exciting new chapter for our group of companies. We will continue to provide manufacturers access to a wide variety of cutting equipment including water jet cutting, 5-axis lasers and fabrications facilities backed up by world class engineering advice to help value engineer products, improve tolerances and provide access to manufacturing solutions both inside Sirius A Corporation and beyond.”
The finance came from Frontier Development Capital (FDC).
Simon Kelsall, investment director at FDC, said: “The flexible funding package FDC has provided will enable Sirius A to double down on its capital expenditure plans and create additional capacity and capability across the group so it can continue to deliver excellent service and product to its 2,000 customers.
“Whilst the UK funding market has tightened, capital remains available for strong management teams in growth sectors with clearly articulated strategies. Sirius fulfills all these requirements and we are delighted to have provided a funding solution that allows the business to continue on its growth journey. I look forward to working with them.”
Bill Boswell, CEO of Sirius A Corporation, added: “The transaction has been undertaken during what has been a turbulent time in the banking and finance world. FDC’s approach during this period was highly balanced and their support unwavering. This has been a positive start to the relationship, and we look forward to working closely with the FDC team over the coming years and delivering on our plans for the business.”
Advisors on this deal include Debrett’s (Will Mason), Clarke Willmott (Kim Klahn), Browne Jacobson (Paul Ray) and Dains (Rob Wilson).