Date of issue: 30th July 2009

AUTOMOTIVE MANUFACTURING FIRM EXPANDS WITH TWO MAJOR ACQUISITIONS

A Midlands based manufacturer that supplies the automotive industry has made two major acquisitions from ITW, a large multi-national group based in Illinois , USA , that will provide substantial new business for the company in both the UK and mainland Europe .

AWC Industries Ltd which currently has two manufacturing automotive plants in the UK - Wild Manufacturing Group Ltd at Witton and Wild Springs & Wireforms Ltd in Redditch, purchased ITW-Siewer in Hungary and the business and assets of UK based ITW Highland.

ITW-Siewer is a modern 150,000 sq ft automotive pressings and assemblies plant in the South West of Hungary and ITW Highland is a 50,000 sq ft automotive pressings plant based at Cannock in the West Midlands .

Chartered Accountants Clement Keys, who have acted for AWC’s  managing director Allan  Cook since he purchased the original business in 2003, advised on the structure of the deal and provided due diligence for the UK acquisition

Partner Michael Meakin commented: “This was a very complex transaction because of the plant in Hungary and the lack of finance available from the banks for such deals in the current market.

“We secured some funding from the Enterprise Finance Scheme via the Royal Bank of Scotland which provided security for AWC to fund the acquisition and RBS also provided debtor finance for the UK element of the business.”

Allan Cook adds: “The purchase of the UK operation expands the group’s capabilities into two very niche markets, deep drawn components and the design and manufacture of automotive hinges. Whilst the automotive industry is very a tough environment at the moment , we see strong opportunities for growth in both of these specialist areas.

“The acquisition in Hungary provides a substantial infrastructure and an established turnover of more than 12 million Euros in an important area of Europe .”  

Wild Manufacturing produces over 2 million small and medium precision components, shims, assemblies and brackets every day. Wild Springs & Wireforms produces over 150 million springs, wires and tubes per annum and both supply automotive vehicle manufacturers, OEM's, component suppliers and distributors in more than 35 countries worldwide.