News: Rotherham-based X-Cel Group to go for growth following MBO
A Rotherham-based manufacturer, specialising in producing precision machined components for the renewables, defence and oil and gas industries, has completed a manager buyout (MBO) with the support of an eight-figure funding package from HSBC UK.
X-Cel Group is a global manufacturer of machined components. In June 2012, the firm moved its Gasket and Seal division to the prestigious Advanced Manufacturing Park (AMP) in Rotherham. The site also includes the group’s coating, assembly and pressure testing plant and a dedicated assembly cell for customer turn key products.
X-Cel Group is utilising a £35m funding package from HSBC UK to support a change in ownership, following the retirement of founder and chairman Andrew Taylor.
Under the management buyout (MBO), Directors David Barton-Phillips and Tim Heron will each acquire a combined 35.7 per cent shareholding, with the remaining shares distributed evenly between Louis Wragg and Dale Stocks.
The HSBC UK investment will also support the expansion of the business, with operations set to move into a neighbouring 20,000 sq ft rented facility, increasing X-Cel Group’s total footprint to 140,000 sq ft. Rothbiz reported on expansion plans last year.
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The additional space will enable the company to scale its export capabilities, particularly across key international markets, including the United States and South East Asia, while also supporting plans to enter new sectors, such as aerospace and nuclear.
Following the MBO, X-Cel Group will safeguard 130 jobs across a range of roles, supporting an anticipated £10m increase in turnover over the next three years.
David Barton-Phillips, Director at X-Cel Group, said: “The ownership transition has provided X-Cel Group with a strong foundation to build further on our growth strategy for the future. This milestone marks a new chapter for the business, as we continue to expand our services to clients overseas and our offerings across Oil & Gas, Aerospace, Renewable and Nuclear markets.”
Lee Manterfield, Global Relationship Manager at HSBC UK, added: “It’s fantastic to see X-Cel Group continue to fly the flag globally for manufacturing excellence in South Yorkshire. As the market evolves, demands for X-Cel services look set to increase and diversify. We look forward to seeing this next chapter for the business as it targets further international expansion.”
Founded in 1984, X-Cel Group specialises in producing precision machined components exporting internationally to Oil & Gas, Renewables, Defence, Petrochemical, Nuclear and Power Generation industries.
X-Cel Group website
HSBC website
Images: HSBC
X-Cel Group is a global manufacturer of machined components. In June 2012, the firm moved its Gasket and Seal division to the prestigious Advanced Manufacturing Park (AMP) in Rotherham. The site also includes the group’s coating, assembly and pressure testing plant and a dedicated assembly cell for customer turn key products.
X-Cel Group is utilising a £35m funding package from HSBC UK to support a change in ownership, following the retirement of founder and chairman Andrew Taylor.
Under the management buyout (MBO), Directors David Barton-Phillips and Tim Heron will each acquire a combined 35.7 per cent shareholding, with the remaining shares distributed evenly between Louis Wragg and Dale Stocks.
The HSBC UK investment will also support the expansion of the business, with operations set to move into a neighbouring 20,000 sq ft rented facility, increasing X-Cel Group’s total footprint to 140,000 sq ft. Rothbiz reported on expansion plans last year.
Advertisement
The additional space will enable the company to scale its export capabilities, particularly across key international markets, including the United States and South East Asia, while also supporting plans to enter new sectors, such as aerospace and nuclear.
Following the MBO, X-Cel Group will safeguard 130 jobs across a range of roles, supporting an anticipated £10m increase in turnover over the next three years.
David Barton-Phillips, Director at X-Cel Group, said: “The ownership transition has provided X-Cel Group with a strong foundation to build further on our growth strategy for the future. This milestone marks a new chapter for the business, as we continue to expand our services to clients overseas and our offerings across Oil & Gas, Aerospace, Renewable and Nuclear markets.”
Lee Manterfield, Global Relationship Manager at HSBC UK, added: “It’s fantastic to see X-Cel Group continue to fly the flag globally for manufacturing excellence in South Yorkshire. As the market evolves, demands for X-Cel services look set to increase and diversify. We look forward to seeing this next chapter for the business as it targets further international expansion.”
Founded in 1984, X-Cel Group specialises in producing precision machined components exporting internationally to Oil & Gas, Renewables, Defence, Petrochemical, Nuclear and Power Generation industries.
X-Cel Group website
HSBC website
Images: HSBC
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