Conway Precision Engineering, designer and manufacturer of gauges, jigs, fixtures and project engineering solutions for the automotive and aerospace manufacturing industries, have completed a management buy-out (MBO) following a £400,000 finance facility from HSBC.
Managing Director, Garry Fisher, worked closely with Andy Horvath of Malcom Piper Business Advisors to develop a plan to buy out the Witton-based business. The deal enables the 57 year old business to progress into its next phase. Garry originally joined the business one year ago and brings almost thirty years of engineering expertise and over ten years of management experience to the business.
The financial support includes a £150,000 Enterprise Finance Guarantee and £250,000 Invoice Discounting Facility. The HSBC Enterprise Finance Guarantee, backed by UK Government, provided the additional financial security necessary for HSBC to fund this deal.
The management buy-out secures the future for the business, which currently employees 17 members of staff. Conway Precision Engineering now expects to increase its turnover from £1.2m to £1.5m in the next twelve months, as well as recruit a further three employees to the business.
Garry Fisher, Conway Precision Engineering’s Managing Director, explained: “Now that the MBO is complete, we are looking to retain and expand the new contracts we have won over the past six months. We’ve already seen a 50% increase in turnover and created three new full time highly skilled jobs this year and I hope to continue this growth as with the team we steer Conway Precision Engineering into its next phase of business.”
Conway Precision Engineering hopes to purchase new equipment with HSBC support as the business grows and secures new contracts with automotive and aerospace OEMs and has also begun the important job of starting an apprenticeship program to pass on all those important skills to the next generation of engineers.
Mark Lupton, Area Director for HSBC Business Banking in Birmingham, said: “We are committed to helping British businesses like Conway Precision Engineering realise their growth ambitions. Garry has exciting plans for the future of the business and we look forward to helping him and the team make these a reality.”
The funding was arranged by HSBC Relationship Manager, Dave Stevenson.