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<\/p>\nRosehill Group makes products that do a serious job. Its specialist rubber and polymer technology is used in some of the toughest environments in the world, from deepwater oil and gas installations to railway crossings, motorway networks and military training facilities.<\/p>\n
Its security systems, meanwhile, are designed to stop vehicles being used as weapons.<\/p>\n
It is a remarkable reach for a business employing around 110 people across five manufacturing sites in Calderdale.<\/p>\n
Now chief executive Dr Alex Celik has his sights set on doubling revenues to \u00a3100m, building on a company that has grown from a \u00a34.5m operation into an international manufacturer exporting 80% of its output to more than 55 countries worldwide.<\/p>\n
But getting there has not been about chasing every contract or grabbing growth at any cost.<\/p>\n
One of Celik\u2019s boldest decisions was to walk away from work that was squeezing margins, even though it meant sacrificing around half the company\u2019s turnover. It was a tough call. It also helped set Rosehill on a different course.<\/p>\n
Today, the business develops everything from recycled-rubber traffic-calming systems and modular railway platforms to advanced polymer materials capable of withstanding extreme temperatures deep beneath the sea.<\/p>\n
The common thread is chemistry. Rosehill develops its own formulations, manufactures its products and, when necessary, builds the machinery needed to make them.<\/p>\n
Celik\u2019s background is in chemistry. After completing a PhD at Loughborough University, he joined a global chemicals group, where he worked as a regional business manager covering international markets.<\/p>\n
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He joined Sowerby Bridge-based Rosehill in 2005, bringing international experience from the chemicals industry to a business then turning over around \u00a34.5m.<\/p>\n
Established in 1988, Rosehill had technical expertise and an established customer base, but its activities were concentrated in relatively few products and markets.<\/p>\n
Celik believed its chemistry could be applied much more widely. \u201cOne of the challenges was that Rosehill had a lot of business which was keeping it in its box,\u201d he said.<\/p>\n
\u201cA lot of it was subsistence business: necessary, but not profitable, with ever reducing margins. We had to get rid of it because it was preventing the business from realising its potential.\u201d<\/p>\n
That meant difficult decisions about customers and contracts, including some involving major multinationals.<\/p>\n
\u201cIt\u2019s quite difficult to lose half your turnover. You\u2019ve got to be a bit confident.\u201d<\/p>\n
It was a significant gamble, but Celik believed retaining revenue for its own sake would restrict investment in new products and markets.<\/p>\n
\u201cWe ditched a load of customers, some of them big multinationals. Then we started asking: what are we good at? What other markets can we go into? What are our skill sets?\u201d<\/p>\n
The answer was diversification, using the company\u2019s technical expertise to develop products for industries with very different requirements.<\/p>\n
\u201cIf you diversify country-wise, marketwise and technology-wise, you\u2019re less dependent on any one area,\u201d he said.<\/p>\n
\u201cThe beauty of being diversified is we don\u2019t really have a main customer or sector.\u201d<\/p>\n
One of the clearest examples of Rosehill\u2019s international reach is its energy division. Rosehill develops and manufactures specialist polymer and rubber products for flowlines, subsea cables and other offshore infrastructure around the world.<\/p>\n
Designed to withstand demanding conditions, they are used in oil and gas and renewable energy projects.<\/p>\n
\u201cWe\u2019ve got some very large offshore energy contracts, which is why our balance sheet can be slightly choppy,\u201d Celik said.<\/p>\n
\u201cSome are worth six or seven million, and depending on where they fall, they come into this financial year or the next.\u201d<\/p>\n
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The contrast with its railway business could hardly be greater. Rosehill supplies level crossing systems to international rail operators, providing safe access for pedestrians, road traffic and maintenance vehicles.<\/p>\n
Its modular crossing panels are made from recycled rubber and tailored to each site, with durability, a precise fit and ease of installation helping operators keep disruption to a minimum.<\/p>\n
It also makes anti-trespass systems to deter unauthorised access to tracks, alongside drainage products to manage water around railway infrastructure. Among its innovations is a modular system allowing railway and tram platforms to be extended using interlocking polymer blocks, offering a quicker alternative to traditional construction.<\/p>\n
The same thinking has shaped its highways business.<\/p>\n
Rosehill manufactures surface-mounted traffic islands, pedestrian refuges, speed cushions and cycle-lane separators using recycled rubber, often avoiding the need for extensive excavation.<\/p>\n
Its products have been used on major highway projects and in emergency refuge areas on smart motorways.<\/p>\n
It has also developed modular drainage systems manufactured from recycled plant tyres. These are not necessarily glamorous products. But they address expensive, practical problems for infrastructure operators: how to make roads safer, reduce maintenance costs and minimise disruption.<\/p>\n
Perhaps the most striking demonstration of Rosehill\u2019s diversification is its security and defence business. Rosehill Security manufactures heavy-duty vehicle barriers designed to protect buildings, public spaces and critical infrastructure from criminal or terrorist attacks.![\"\"](\"https:\/\/www.thebusinessdesk.com\/_files\/images\/oct_26\/02_Rosehill-Group_Factory_Filling-a-mould-300x200.jpg\")
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Made using recycled rubber, they can be deployed without permanent foundations. Rosehill has supplied hostile-vehicle mitigation products for government buildings, while its barriers have also been associated with protection at major public events.<\/p>\n
Its defence division manufactures ballistic blocks and bullet catchers from recycled rubber for military and law enforcement training facilities.<\/p>\n
At the other end of the spectrum, Rosehill\u2019s TPV business makes coloured rubber granules for playgrounds, running tracks and multi-use sports areas around the world.<\/p>\n
Its surfacing business is one of the largest globally. The granules are made in Sowerby Bridge and designed to retain their colour and flexibility through years of use and exposure to sunlight. Rosehill also develops and manufactures the polyurethane binders and adhesives used to hold the surfaces together.<\/p>\n
The breadth of its products is striking, but Celik is wary of businesses becoming too focused on refining what they already do.<\/p>\n
\u201cThere\u2019s so much focus on lean business and all these things. I\u2019m not saying they\u2019re not important, but sometimes they can overwhelm the direction of a business so that it doesn\u2019t innovate.\u201d<\/p>\n
He added: \u201cIt spends more time fine-tuning than asking, \u2018what\u2019s around the corner?\u2019\u201d \u2018\u2018Where are the opportunities?\u2019\u201d<\/p>\n
For Rosehill, innovation extends to how products are manufactured. The company formulates its own polyurethane chemistry, manufactures its own compounds and, where commercially available equipment cannot deliver what it needs, designs and builds production machinery itself.<\/p>\n
And some of that equipment has a history of its own. One of its factories houses a 2,000-tonne hydraulic press manufactured in Leeds in the 1880s. The massive steel casting has been repurposed for the 21st century with new hydraulic power packs and controller units.![\"\"](\"https:\/\/www.thebusinessdesk.com\/_files\/images\/oct_26\/01_Rosehill-Group_Watson-Mill-Sowerby-Bridge-300x169.jpg\")
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\u201cIt\u2019s impossible to buy a new one these days. Certainly, one manufactured in this country,\u201d Celik said.<\/p>\n
\u201cThe big capital lines we have are generally ones we build because we can\u2019t buy what we need off the shelf. Nobody can.\u201d<\/p>\n
The business uses chemical engineers, electricians and specialists in programmable logic controllers to develop manufacturing lines tailored to its technology.<\/p>\n
\u201cWe try to make technically sophisticated systems. We\u2019re using AI in some of the formulation and joining the dots.\u201d<\/p>\n
Rosehill also processes more than 350,000 end-of-life tyres each year, turning waste material into products used in transport, infrastructure, security and defence.<\/p>\n
Rosehill\u2019s international reach has shaped Celik\u2019s views on trade. Although he opposed Brexit, he says the disruption created unexpected opportunities.<\/p>\n
\u201cI\u2019m no fan of Brexit, but we found Brexit good for us, which sounds counterintuitive.\u201d<\/p>\n
Competitors hesitated because of uncertainty, he explained, allowing Rosehill to move more quickly into markets others were reluctant to pursue.<\/p>\n
Celik believes manufacturers can also overlook the support available through diplomatic networks and export agencies.<\/p>\n
\u201cWhat we\u2019ve found useful is using the embassies,\u201d he said, explaining that Rosehill has worked with overseas embassies to develop international relationships.<\/p>\n
Businesses developing export markets could find more support from government and its export credit agency than they might expect, he said.<\/p>\n
Those relationships have proved valuable not only commercially, but in finding unconventional ways to finance the business.<\/p>\n
Rosehill\u2019s approach to funding has been almost as unconventional as its product development. In 2023, some shareholders wanted to exit while others sought to acquire their shares.<\/p>\n
Finding the money to make that happen was another matter. Conventional bank borrowing was all but impossible on acceptable terms. Private equity or a sale to a trade buyer were possible alternatives. But Celik wanted to keep Rosehill privately owned and retain control of the business.<\/p>\n
The solution came through UK Export Finance (UKEF), the government\u2019s export credit agency, and its General Export Facility (GEF). The facility generally helps exporters access working capital and finance international growth. Using it to support an ownership restructuring was less typical, Celik says.<\/p>\n
But UKEF recognised the wider value of supporting a British manufacturer with a substantial export business and plans for further investment, he said.<\/p>\n
Securing UKEF&\u2019s support was only part of the challenge. Some lenders still doubted the facility could be used in this way, even after the agency had confirmed it was possible, according to Celik.<\/p>\n
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Rosehill eventually found a lender willing to proceed. The resulting funding package was backed by an 80% UKEF guarantee. It enabled the bank to support the refinancing and ownership transaction, as well as Rosehill\u2019s overseas growth plans.<\/p>\n
When the deal was announced in October 2023, UKEF described the package as \u201csupporting the global growth of an innovative business\u201d.<\/p>\n
Celik believes the arrangement could provide a model for other exporters facing ownership changes. But he worries that businesses have too few financing options.<\/p>\n
\u201cWe need the oxygen of finance to grow businesses. That\u2019s a fact; you can\u2019t escape it.\u201d His concerns extend to the impact of private equity on companies after their original owners have exited.<\/p>\n
\u201cIt\u2019s fine if it\u2019s an exit strategy that works for you as an individual. But what about the hundred or so people left behind?\u201d<\/p>\n
Celik is not opposed to private equity in every circumstance, but believes businesses need greater access to alternative funding.<\/p>\n
Rosehill has also found unconventional ways to finance manufacturing investment, sometimes building production lines with its own cash before approaching asset lenders once the equipment is operational and generating revenue.<\/p>\n
Rosehill is projecting turnover of at least \u00a350m for the 2027 financial year, up from \u00a337m in 2026. Celik\u2019s next ambition is to reach \u00a3100m within five years.<\/p>\n
\u201cAs far as any sort of exit strategy for Rosehill, we just want to keep growing and growing.\u201d<\/p>\n
It is a substantial target for a business employing around 110 people, but its opportunities are spread across railway infrastructure, road safety, security, defence, offshore energy and sports and safety surfacing.<\/p>\n
Doubling revenue will require production capacity, investment, technical expertise and working capital to keep pace.<\/p>\n
Diversification offers protection against dependence on any single sector but also brings complexity. Different markets have different regulations, procurement processes and customer expectations.<\/p>\n
Rosehill\u2019s challenge will be to expand without losing the qualities that have brought it this far: quick decision-making, a willingness to walk away from unprofitable work and the confidence to invest in its own solutions.<\/p>\n
For Celik, however, the story is about more than one manufacturer\u2019s growth ambitions.<\/p>\n
\u201cThe key thing is a clear industrial strategy. It\u2019s not Rosehill; it\u2019s an industrial strategy for the whole country. That\u2019s what we\u2019re really lacking.\u201d![\"\"](\"https:\/\/www.thebusinessdesk.com\/_files\/images\/oct_26\/06_Rosehill-Group_Laboratory-300x200.jpg\")
<\/p>\n
He believes manufacturers need practical access to finance, support for innovation and an industrial strategy that recognises the realities of investing in specialist equipment and competing internationally.<\/p>\n
For now, Rosehill remains firmly rooted in the Calder Valley, even as its products find their way into offshore energy applications, international railway networks and critical infrastructure around the world.<\/p>\n
And perhaps the most revealing lesson from Celik\u2019s journey is that growth has not been about preserving everything Rosehill already did.<\/p>\n
It began with the confidence to abandon work that was no longer profitable and apply the company\u2019s technical expertise in new ways.<\/p>\n
For a manufacturer whose products can be found everywhere from railway crossings to offshore energy, the next \u00a350m of growth may depend as much on the chemistry of good business decisions as the chemistry in its factories.<\/p>\n","protected":false},"excerpt":{"rendered":"
From offshore energy projects to railway crossings, military installations and playgrounds, Calder Valley manufacturer Rosehill Group has built an international business on solving difficult engineering problems. Now chief executive Alex Celik wants to double revenues to \u00a3100m<\/p>\n","protected":false},"author":271992,"featured_media":2162050,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53262,137139,7],"coauthors":[137100],"class_list":["post-2161958","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","category-interviews","category-manufacturing","tag-featured-story","tag-yorkshire"],"yoast_head":"\n