Sheet metal fabricator purchased for £0.8m
Shaw Sheet Metal has been acquired by the specialist engineering group, Corac. Shaw will add to Corac’s engineering capabilities through its experience in laser cutting and sheet metal fabrication. The Greater Manchester-based company’s two existing facilities will be integrated into Corac’s current activities within the area as part of the £0.8m deal.
On 31 December, the Corac groups existing cash was stated as £9.6m and this acquisition is expected to generate further business growth. In addition, Corac said on its website: ‘It [the purchase] integrates added-value fabrication with specialist engineering services for our established energy and petrochemical processing customers. Beyond this, it allows us to open new opportunities for high-integrity fabricated products in Corac's other markets, particularly in aerospace and defence sectors, and gain new customers through Shaw's established relationships.’
Corac group chief executive, Phil Cartmell, commented in a press release: ‘I am very pleased to have completed this acquisition as we prepare ourselves for a very exciting year ahead in 2015. Buying Shaw helps Corac Group to build an even more capable specialist engineering business to support our customers' critical applications. We will use this to serve customers more fully from the connected skills across the Group and to work across adjacent sectors where our strengths in complex engineering at the highest quality are most valued.
‘We are committed to working with our customers and partners to the greatest extent possible, and will build our capability to do this through organic growth and selected acquisitions in our core markets of Aerospace & Defence, and Energy & Process Industries.’
The purchase comes less than a year after Shaw Sheet Metal expanded its laser processing capabilities with an Amada FOM2RI 3015, which was installed in July 2014. At the time, Phil Shaw had told the company’s website: ‘Like many Midlands businesses we are starting to see stronger demand for our services. It is essential that we are geared up to respond quickly and efficiently and this latest piece of equipment will help us considerably.’
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