UK Private Equity fund Elaghmore have announced the acquisition of Formaplex, an integrated manufacturer and supplier of lightweight component solutions to the global automotive, motorsport, aerospace, medical and defence markets.
Established nearly 20 years ago and with revenues in excess of £60m, Formaplex operates from four manufacturing sites based across the South Coast of England.
The business started as a specialist tooling partner for the F1 motorsport sector before adding injection mould tooling and moulding to its skillset and developing its sought-after expertise in composite components. Formaplex employs over 500 employees, and, following the acquisition, the business will continue to be led by Mike Bryant, CEO.
Formaplex serves a blue-chip customer base and manufactures world-class accredited lightweight component solutions for tier-one automotive clients and OEMs across global market sectors.
Formaplex fits Elaghmore’s investment strategy to use its executive team’s proven operational skills to deliver significant growth and value creation. Through its hands-on approach and capital support, Elaghmore believes Formaplex can deliver substantial growth in the mid to long term across automotive and the other sectors it services through its high end, precision engineering offering.
Elaghmore has made a strong start to 2021, having also acquired Orchard House Foods on 14 January, which was the fund’s largest acquisition to date.
In total, Elaghmore has now made eleven acquisitions, with the Formaplex deal being the second from Elaghmore Fund 1A.
Andy Ducker, Co-Founder, Elaghmore, said: “Formaplex has developed a global reputation for high-quality, precision engineering. We believe it has significant potential for continued growth in all sectors it services. More and more businesses across the automotive, motorsport, aerospace and defence sectors are looking for lightweight solutions to replace traditional component materials to increase efficiency and lessen their environmental impact. We look forward to being part of this growth by providing Mike and the team with financial and operational support.
“This transaction follows our recent acquisition of Orchard House Foods and shows our deal pipeline is full of interesting opportunities. Elaghmore is well-placed to help traditionally successful companies that have been impacted by COVID-19, especially as Government support schemes end, and bank support is limited.”