Building products manufacturer, Epwin Group, has bought Tamworth-based Stormking Plastics for £27million.
Stormking Plastics, which manufactures GRP building components used in the house building and construction industry in the UK, employs more than 200 staff and turned over £22.8m in the year to 28 February 2015.
“I am delighted to announce the acquisition of Stormking Plastics and extend a warm welcome to the group to the team there,” commented Epwin Chief Executive, Jon Bednall.
“Stormking adds further to the group’s range of low maintenance building products as well as the plastics materials technologies that we can draw upon. The acquisition represents a further significant step in the development of the group and is expected to enhance earnings in 2016.”
Solihull-headquartered Epwin Group said the deal is part of its strategy to broaden its range of low maintenance building products.
It will pay a total consideration of £27m for the business, made up of £20.25m in cash and 5.3 million Epwin Group shares.
A further £8 million will be paid subject to Stormking’s performance in the 12 months to 28 February 2017.
Stormking’s founders, Gary Knight and Barry Whitehall, have recently retired from the business. Mark Stokes, current Managing Director of Stormking Plastics, said that joining Epwin Group is “excellent news” for the future of the business, its employees and customers.