A Midlands aerospace company has added a leading Formula 1 component supplier to its expanding group.
With the help of a £320,000 cash injection from Birmingham-based Liquidity, CommaTECH Holdings has purchased the business of NH Precision Engineering for an undisclosed sum.
Now to be re-named CommaTECH ( Northampton), NH Precision Engineering has been a key component manufacturer for Formula 1 for over 20 years. With over 20 customers and a team of 22 employees, the business is the second acquisition for the CommaTECH group this year.
CommaTECH Holdings, is the parent company of Leicester-based Cannon & Stokes (now named CommaTECH Leicester), and has been a key supplier to the aerospace industry for more than 40 years.
It supplies blue chip aerospace customers with a range of components and assemblies including complex prismatic components and turned rings.
The company's annual turnover is now in excess of £15million and it has more than 180 employees.
Its key customers include Rolls Royce, Goodrich Power Systems, Smiths Aerospace, and Cosworth.
"We have provided sales finance support to CommaTECH Holdings for its past acquisitions and we are in tune with its business and planned expansion," said Paul Housley, head of operations at Liquidity.
"Our finance has taken the form of an invoice discounting facility and a loan against plant and machinery, a package which is flexible for the future of the business."
John Taylor, chief executive of CommaTECH Holdings, said: "We are certain that the new investment in the business' employees and technology will further improve its manufacturing capabilities and the finance package has the added elasticity to facilitate growth.
"The Northampton facility also brings an additional capacity to the group's production capabilities and goes one stage further towards playing a larger part in the supply chain and providing total solutions to our customers.
"We are already looking out for other acquisitions that will complement our core business and boost our growth strategy further."
Liquidity's package illustrates the versatile nature of sales finance, according to Mr Housley.
"We are prepared to finance businesses with a variety of outlooks and our long term involvement in a 'buy and build' strategy," he said.