UK aerospace sector adds £11bn to economy, report finds

Manufacturing

Husband and wife team acquires Black Country manufacturer

A husband and wife team has bought out a Black Country manufacturing business. Owners Cameron and Elizabeth Wakeman have taken over Midlands Wire Mesh in an undisclosed deal which has allowed previous owners David and Debbie Walters to retire. Established in 1975, Midland Wire Mesh is based in Lodgefield Road, Halesowen, and manufactures wire mesh, supplying to clients in sectors such as construction, gardening, drainage and the pet industry. As a result of the acquisition, the new owners said they hoped to create an additional three roles, diversify the in-house services they provide to include welding and invest in new machinery. Email newsletters BusinessLive is your home for business news from across the West Midlands including Birmingham, the Black Country, Solihull, Coventry and Staffordshire. Click through here to sign up for our email newsletter and also view the broad range of other bulletins we offer including weekly sector-specific updates. We will also send out 'Breaking News' emails for any stories which must be seen right away. LinkedIn For all the latest stories, views and polls, follow our BusinessLive West Midlands LinkedIn page here. Mr Wakeman has more than 14 years of sales, marketing and management experience within the metal industry while Mrs Wakeman, who also works at Guest Hospital in Dudley, will look after the company's finance and business marketing. Mr Wakeman said: "Myself and Elizabeth have always wanted to run our own business and, when the opportunity came about, we were keen to make it happen. "I have always worked in the metal industry in various roles from shop floor, operating machinery to sales and management roles so I'm looking forward to applying my skills and knowledge to Midland Wire Mesh. "Our aim is to grow the business over the next 12 months and focus on diversifying into new markets including racking, pet care, safety and architecture." The acquisition was supported by a joint £175,000 funding package from Wolverhampton-based BCRS Business Loans and Sheffield outfit UKSE. Birmingham-based brokerage Central Business Finance introduced the couple to the funders. Lynn Wyke, senior business development manager with BCRS Business Loans, added: "We are delighted to have been able to deliver the funding Cameron and Elizabeth needed to secure the purchase of Midland Wire Mesh. "As a lender that delivers funding for social and economic impact, it is great news that the funding will generate new jobs and enable the company to innovate." UKSE regional executive Mike Lowe added: "Midland Wire Mesh is a great example of a Midlands manufacturing business looking to grow through investment and innovation. "Cameron and Elizabeth were a pleasure to work with and we wish them all the success as they grow and develop the business." Central Business Finance's director Steve Harris said: "I am thrilled to have been able to assist Cameron and Elizabeth to source suitable finance.

Manufacturing

Marston's offloads brewing arm to focus on pub business

Legendary beer maker Marston's has offloaded its brewing arm in order to focus on the pub side of the business. The Wolverhampton-based company has agreed to sell its holding of a joint venture with the UK arm of Danish giant Carlsberg. Called the Carlsberg Marston's Brewing Company, the partnership makes brands including Hobgoblin and Pedigree. Marston's said it would receive £206 million to sell Carlsberg its 40 per cent stake in the joint venture. It comes four years after the two brewers created the UK partnership in a deal valuing the operation at £780 million as Marston's sought to focus more on its pub operation. Email newsletters BusinessLive is your home for business news from across the West Midlands including Birmingham, the Black Country, Solihull, Coventry and Staffordshire. Click through here to sign up for our email newsletter and also view the broad range of other bulletins we offer including weekly sector-specific updates. We will also send out 'Breaking News' emails for any stories which must be seen right away. LinkedIn For all the latest stories, views and polls, follow our BusinessLive West Midlands LinkedIn page here. Among the venues Marston's operates in Birmingham are Lost & Found in Bennetts Hill, Bulls Head in Kings Norton and Farmer John's in Streetly along with the UK-wide Pitcher & Piano chain. Justin Platt, who became chief executive at Marston's at the start of the year, said: "This deal further strengthens our balance sheet, significantly reducing our debt by over £200 million. "Crucially, it allows us to become a pure play hospitality business and focus on what we do best - namely, giving our guests amazing pub experiences." Separately, Carlberg has agreed a £3.3 billion deal to buy Robinsons squash maker Britvic. The UK soft drinks firm, which also makes J2O and Tango, told shareholders it would recommend the latest deal. It is valued at £4.1 billion when debts are taken into account, having previously rejected a £3.1 billion offer.

Manufacturing

Robinsons and J2O maker Britvic rejects £3.1bn takeover bid from Carlsberg

Robinsons squash and Tango maker Britvic has rejected a £3.1bn takeover bid from Danish beer giant Carlsberg. The soft drinks group saw its shares jump by as much as 15% on Friday after the Carlsberg approach was revealed. Britvic said it received a proposal from Carlsberg for the whole business on June 11 valuing the company at 1,250p per share, or £3.1 billion. But Britvic said the approach “significantly undervalues Britvic, and its current and future prospects” and rejected the bid days later. It came a week after it rejected a 1,200p per share approach from Carlsberg. Read more: Northern leaders urge next Government to commit to infrastructure plan Learn more: Sign up to our BusinessLive newsletters here Britvic has its headquarters in Hertfordshire and factories in Rugby, London and Leeds, as well as offices in Tamworth and Solihull. Its own brands include Fruit Shoot, J2O, Robinsons and Tango, while it has exclusive licences to make and sell PepsiCo brands including 7UP, Lipton Ice Tea, Pepsi MAX, and Rockstar Energy. Britvic told shareholders: “The board remains confident in the current and future prospects of Britvic. “It recognises its fiduciary duties and will consider any further proposal on its merits. “There can be no certainty that any firm offer will be made for the company, nor as to the terms of any such offer, should one be made.” Carlsberg issued a separate statement to its investors confirming the move. The Danish company said: “Carlsberg believes that the proposal represents a compelling opportunity for Britvic shareholders to realise their investment in full in cash at an attractive valuation. “Carlsberg believes that the potential transaction would enable it to capture appealing long-term growth opportunities from Britvic’s comprehensive portfolio of leading brands in an attractive segment of the beverage market where Carlsberg already has a strong track record.”

Manufacturing

North Wales operation of pharma giant Wockhardt secures £20m new facility to expand

North Wales-based pharmaceutical manufacturer, Wockhardt, had secured a new £20m lending facility to support its expansion plans. The Indian-owned business,. which has a global presence, has been backed by NatWest. The debt advisory team of professional advisory firm RSM acted for Wockhardt on the funding deal. Established in 1950, Wockhardt UK, employs more than 400 at its UK factory in Wrexham. During the pandemic it produced the Astra Zeneca Covid vaccine for the UK Government. This saw it manufacturing more than 100 million doses. Read More: The latest equity deals in Wales Read More: Devolution of rail a process not an event says Welsh Government Its UK managing director, Ravi Limaye, said the funding will able to deliver its next phase of growth in the UK and support its global vaccine programme, which includes investing in new machines and rolling out multiple vaccines. He added: “Working with the RSM team and securing this inward investment means we are able to realise our facility upgrade plan, further demonstrating our commitment to supplying high quality medicines to those that need them the most.” RSM’s Ashley Suter, Jack Williams, Matthew Kells and Alexander Harris advised Wockhardt on the funding package. Eversheds and Hill Dickinson provided legal advice on the deal.

Manufacturing

Shield Therapeutics strikes £4.4m advance deal with investors AOP

Pharma company Shield Therapeutics says it has struck a deal with shareholder AOP to secure a $5.7m (£4.4m) cash sum that will "fortify" its balance sheet. The Newcastle-based business says the "monetisation" deal with its largest investor will also bring AOP's founder, Rudolf Widmann to its board as a non-executive director. Shield told the London Stock Exchange the sum is in exchange for right to receive the $11.4m (£8.9m) China approval milestone payment that may be paid to Shield by ASK Pharma, the firm's commercial partner in China for its Accrufer iron deficiency tablets. ASK is enrolling patients onto a study and subject to its success and approval by the Chinese regulator, Shield is in line for a milestone payment. The firm thinks that is likely to come in 2026 but if it does not, Shield will need to repay the advance plus interest. Read more: Two global media giants set to launch North East bases after Quorum Park office deal Read more: North East deals of the week: key contracts, acquisitions and investments Greg Madison, Shield CEO, said: "We are pleased to work with AOP on this milestone monetization agreement to bring in additional capital to support our growing business. We are encouraged by the recent Accrufer commercial trends in the US and will continue to be opportunistic to further support our growing business. This agreement, following our recently announced Sallyport deal, provides us with additional operational and financial flexibility. The $5.7m, along with approximately $8m cash on hand at the end of May 2024 allows us to further fortify our balance sheet and expand our working capital. "It is also a pleasure to welcome AOP's founder, Dr. Rudolf Widmann, to the Shield board of directors. I believe that Rudi's strong track record of building a successful pharmaceutical business and strategic perspective will complement Shield 's current board of directors." Dr. Widmann, founder of AOP, is said to be an experienced pharmaceutical scientist and entrepreneur who has focused on treatment of patients with rare diseases. He started AOP in 1996, first serving as the company's chief executive officer and chief therapeutics development officer and then being elected to the board of AOP Health Group.

Manufacturing

Tumble dryer factory could close, putting 150 jobs at risk

A tumble dryer factory in South Gloucestershire could be closed down, putting 150 jobs at risk. Beko Europe confirmed that its subsidiary - Hotpoint UK Appliances - has entered consultation with staff over its facility in Yate. The site currently produces tumble dryers for the UK and Ireland markets. Beko said its products had become "less popular" with consumers who now favoured more energy efficient appliances. It also said the UK was "likely" to adopt EU legislation that means new tumble dryers need to be produced using heat pump technology. "Beko Europe’s proposal, subject to consultation, is that it is not technically or economically feasible to remodel the Yate site to continue operations", the company said in a statement. "It is for these reasons that Beko Europe has announced that its subsidiary will enter into a consultation to explore potentially closing the facility." Beko said staff at Yate would be employed by the company on full pay and benefits while the process was ongoing. Teresa Arbuckle, regional managing director (UK and Ireland) at Beko Europe, said “We know this news will be difficult to hear for our employees, on-site contractors, and the whole community. The Yate site has a superb workforce, with real commitment and strong leadership, and we are grateful for their continued efforts during this challenging time. "The facility has been operating at a significant loss for some time, and over the past few years, despite continued investment in the site, demand for the appliances produced here has rapidly decreased as consumers purchase more advanced and energy efficient models." Beko Europe said it would support employees who may potentially be affected. Unite regional officer John Sweeney said: “The union will be ensuring our members’ best interests are the priority and demanding Beko leaves no stone unturned in seeking alternatives to closure. The potential closure of the Hotpoint factory is deeply worrying news all the workers employed at the site. Unite will now be offering support to our members and entering consultations with the company.” Claire Young, Liberal Democrat MP for Thornbury and Yate, added: “The news will have come as a shock to people, this site has been a local provider of employment for more than 100 years so it has a special place in Yates history.”

Manufacturing

Founder of North Somerset plastics firm retires at 59 after selling off business

The founder of a plastics fabrication business which started life in a barn near Bristol Airport more than 30 years ago has retired after selling the company to new owners. Colin Vye established Marcol Fabrications (Plastics) with business partner Mark Godfrey in 1990, helped by a loan of just £9,000, in a farm building on Row of Ashes Lane in Redhill. The company, now based in Nailsea, North Somerset, has a 14-strong workforce and was turning over more than £1.5m when sold to Safety Critical Plastic Solutions Group for an undisclosed sum. Mr Vye, who lives in Portishead, retired aged just 59 following advice from accountant Tim Bowden at Bristol SME specialists Haines Watts. “It’s the last leg of an amazing journey in business,” said Mr Vye. “When Mark and I started we were like a lot of entrepreneurs – great at what we could do but winging it a bit on the business strategy and doing whatever we needed to do to survive. “We didn’t want our clients seeing our premises so we’d drive up to places like Yorkshire for meetings, pretending we were in the area anyway. We did lots of overtime, sacrificed a great deal but never let go of our belief and our passion. We’ve been supported by some great advice along the way and I’m proud of what we’ve achieved.” Mr Vye has said he is now planning to spend more time at home, in the gym and travelling. “We’re delighted to have helped Colin exit the company he founded and to have reached a satisfactory conclusion to his business career," added Mr Bowden.

Manufacturing

Concrete Canvas lands its biggest ever US export orders

A South Wales manufacturer has secured its biggest US export deal to date worth over £1.1m. Pontyclun-based Concrete Canvas, which manufactures innovative flexible concrete fabric, signed the milestone deal as part of its wider expansion in the US, which includes lining canal networks across the West Coast. The company is eyeing significant further expansion in the US as a route to export growth, having partnered with more than 12 new distributors in the country in the last 12 months. The deals will provide it with access to hundreds of new clients and Concrete Canvas expects its sales in the US to triple by 2026 as a direct result, accounting for 30% of its overall exports. Read More: Latest equity deals in Wales Read More: Trade sale dominate Welsh exit deals Founded in 2005 the firm’s innovative concrete fabric sets to form a thin, durable and waterproof layer. The product is used in construction and provides over seven times greater abrasion resistance than traditional poured concrete, as well as lower carbon emissions and a faster installation time. Exports currently account for over 85% of the company’s trade, with its products sold in over 100 countries across Australia, North America, Europe and South East Asia. In recent years, it has set up six international offices off the back of its export success including in Kuala Lumpur, Dubai, Milan, Budapest, Houston and Sydney, with clients including Mott Macdonald, Jacobs, Aecom and Atkins. Concrete Canvass, which employs 70 full time staff, is now set to further grow its global presence by working with a range of international irrigation ministries following the launch of its new product, CCX, which has been designed to line canal infrastructure to prevent erosion and reduce water seepage loss. As it stands, approximately 30% of the world’s irrigated water transported via canals is estimated to be lost due to canal leakage – something Concrete Canvas hopes to change. Will Crawford, director at Concrete Canvas said: “Our exporting journey is going from strength to strength across many different markets. Not only are we seeing ongoing expansion in the US, with our biggest deal to date breaking ground this month to install our innovative CCX product, but we are also seeing growth in central Asia and Europe, in regions where water scarcity is prevalent.” Concrete Canvas said its export success has been supported by its regular presence at international trade shows and trade missions, supported by the Welsh Government. Looking ahead, the company hopes to target more business in North America, India and central Asia, which it sees as key growth markets. Mr Crawford added: “A huge part of our success has been meeting prospective partners and clients in international markets. Entry into new international markets can sometimes present challenges, especially when it comes to educating the market on the new, innovative materials that we produce. Having people on the ground, combined with the right support at home, has been invaluable to us in gaining entry and, ultimately trust, in new territories.”

Manufacturing

Electroplating specialist BEP Surface Technologies buys Yorkshire consultancy Plating Solutions

An electroplating specialist has acquired an internationally-focused consultancy as it continues its growth plans. BEP Surface Technologies, based in Radcliffe, Bury, has taken over Huddersfield specialised metal finishing plant design and equipment consultancy Plating Solutions. The Yorkshire firm was founded 20 years ago by John Torr. The BEP deal, whose value has not been disclosed, will allow for Mr Torr's eventual retirement as he takes a consultant’s role and leads a team of commercial staff and chemical engineers. READ MORE: High voltage specialist Excalon acquired by Renew for £26m GENERAL ELECTION: Take our BusinessLive North West election survey BEP operates in the plastics, defence, energy, power generation, and nuclear sectors, with specialisms in areas including electric vehicle battery production. BEP works with international governments, academia and businesses to address business challenges in existing and emerging sectors. Recent work has included developing a novel graphene-impregnated copper coating in partnership with the Graphene Engineering Innovation Centre (GEIC) in Manchester, and working on research into the development of copper-coated containers for global nuclear waste management organisations. It says the deal marks a "significant" expansion and positions BEP as a leading player in the UK’s metal plating and specialty chemicals trading sector. Andrew McClusky, managing director of BEP Surface Technologies, said: "We are thrilled to welcome John Torr and the Plating Solutions clients into the BEP family. John's unparalleled expertise and dedication to advancing surface technologies perfectly align with our mission to drive innovation and excellence in engineering.” BEP recently launched BEP Solutions to accelerate international R&D partnerships to help solve global challenges in surface coating. Mr McClusky added: “John’s stellar reputation in innovation and problem-solving has been instrumental in providing cutting-edge solutions to clients across the UK and internationally. "Our recently launched innovation arm, BEP Solutions, will benefit from his deep understanding of process chemistry and commitment to excellence, which have earned him recognition as a leader in the field.” John Torr has more than 55 years of experience developing pioneering electroplating solutions. He said: "Joining forces with BEP Solutions presents an exciting opportunity for me to share my expertise. I am confident that we will continue to deliver exceptional solutions while driving innovation in metal plating. I look forward to contributing to BEP's visionary projects and leading a team of passionate professionals toward new heights of success."

Manufacturing

Nissan road tests self driving technology with eyes on 2027 for market launch

Automotive giant Nissan has started road demonstrations of its own driverless technology, with a view to selling the services within several years. The Japanese manufacturer has showcased the tech on roads around its Yokohama headquarters ahead of plans to launch the systems to the market in 2027. Pictures have been released of a Nissan Leaf model equipped with 14 cameras, 10 radars and 6 LIDAR (light detection and ranging) sensors showing it driving through busy and complex roads in the city, south of Tokyo. The latest prototype features a large, roof-mounted system which incorporates sensors that expand the car's field of vision - making detection of its surroundings more accurate. Nissan says the advances have helped it improve the systems' ability to predict behaviours of pedestrians and other road users, make judgements, as well as enhance its overall control for a smoother ride. Read more: National Grid work paves the way for Sunderland gigafactories Read more: Arriva takeover by American investment group I Squared completes Technicians at the global manufacturer say the prototype has been able to safely change lanes when merging and judge when to drive into intersections. It follows autonomous drive testing in London, where Nissan has received UK Government support. The results are the culmination of several years' work, with Nissan saying it has studied business models for 'future mobility services' since its 2017 fiscal year. It now intends to build the functionality and to begin offering the autonomous drive services, initially in Japan, by 2027. Later this year it will start trials in the Minato Mirai area in Yokohama with further plans to carry out service demonstration tests within fiscal year 2025. The plan is to gradually increase the autonomous features of the systems as it builds customer confidence. Nissan said the work is being carried out in close cooperation with the Japanese Ministry of Economy, Trade and Industry; Ministry of Land, Infrastructure, Transport and Tourism; and other central ministries. A number of other major manufacturers have been developing autonomous driving systems, including Toyota, which has invested substantially in software development and research in the US. The sector's poster child, Tesla, has worked on autopilot and self driving technologies while General Motors-owned Cruise has developed self driving systems with Honda signalling it could bring hands free, driving assist features to the US market by 2030.