Alvechurch-based Arc Specialist Engineering has acquired TBF International in an undisclosed deal.
Arc, which was founded last year after the buyout of Metalrax which had been placed into administration, said the deal to buy TBF would provide its Luton-based subsidiary Toolspec with access to new products, processes and customers.
Like Toolspec, Walsall-based TBF is a specialist in tube bending, forming and fabrication solutions.
Arc group chief executive Andrew Richardson said: "We are very focused on making acquisitions in the manufacturing sector and are delighted to have completed this transaction.
"Our subsidiary Toolspec has traded very successfully since the creation of the Arc Group in April 2013 with strong double digit revenue growth in the first 12 months of trading.
"Working alongside TBF, with its diverse customers and products and its high quality team, will further enhance Toolspec's growth opportunities."
TBF shareholder Adam Bradley added: "My brother and I are delighted with Arc's acquisition of TBF.
"We wanted to sell our shareholding in TBF in order to focus on our other business interests.
"Our primary concern was job security for our 19 staff and, in Arc, we believe we have found the ideal owner to take TBF to the next level."
Arc has acquired 100 per cent of the share capital. Legal advice was provided to Arc by Higgs & Sons and to the vendors by George Green.
The Birmingham Post has launched a free app for iPad and iPhone. Download it here.