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

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News: Rotherham manufacturer drives export growth with £1.5m government guarantee

Preformed Windings Limited, a leading manufacturer of high-voltage bars and diamond coils, has secured enhanced financial backing to strengthen its position in international markets through a £1.5m trade loan facility from HSBC UK, backed by a guarantee from UK Export Finance (UKEF) – the government’s export credit agency.

The company has over 50 years of experience manufacturing high-voltage bars and coils that are essential for stabilising and enhancing the performance of heavy machinery across multiple sectors, including hydropower, nuclear and power generation. These specialised components extend asset life, improve efficiency and reduce maintenance requirements for equipment that typically operates under extreme electrical stress.

Preformed Windings has operations at Vector 31 at Waleswood in Rotherham. It recently added a further 11,000 sq ft for a 60% increase in manufacturing capacity to meet the growing demand for high-voltage diamond coils.

With over 90% of its business driven by exports, Preformed Windings supplies customers across multiple continents. The trade loan facility, backed by UKEF’s General Export Facility, provides the financial flexibility needed to manage working capital while continuing to invest in growth and technical innovation, enabling the company to confidently handle large international orders and serve its expanding global customer base.

The company now employs more than 120 people – with 10% of staff recruited in the last six months – and expects to add further roles across production, technical, and sales teams as growth continues.

Preformed Windings works closely with Advanced Manufacturing (Sheffield) Limited and the University of Sheffield’s Advanced Manufacturing Research Centre, offering post-graduate and degree apprenticeship schemes to develop future engineering talent within the region.

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Tim Reid, CEO of UK Export Finance, said: "Preformed Windings’ success shows exactly why we created the General Export Facility - to give UK businesses the flexibility to invest in export growth. Their commitment to technical innovation and training showcases why the UK remains at the forefront of advanced manufacturing.

"By backing companies like Preformed Windings, we’re strengthening the UK’s competitive edge, supporting skilled jobs, and nurturing the engineering talent that underpins our economy.

"Looking ahead, the company is focused on expanding further into markets in North America, Middle East, Japan, and Europe, which present exciting opportunities for Preformed Windings advanced bar and coil technologies and expertise in supporting high-efficiency power generation."

James Stevens, CEO at Preformed Windings Limited, said: "With over 90% of our business driven by exports, the support by UKEF and HSBC UK has been critical in strengthening our position as a global leader in high-voltage bars and diamond coils.

"The General Export Facility has given us the confidence to manage working capital to meet overseas demand efficiently and competitively. As we expand into new markets, we see UKEF as a key partner in our international growth."

Kayley Towle, International Manager at HSBC UK, said: "At HSBC UK, we’re delighted to support innovative businesses like Preformed Windings to achieve their export growth ambitions. Working alongside UKEF, this is a great example of how partnership between banking and government can provide the flexible financing that businesses need to capitalise on international opportunities."

Preformed Windings website

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News: Plans drafted for new banking hub in Rotherham

Plans are progressing to reintroduce community banking services in the Rotherham town of Dinnington.

Rothbiz reported in February that LINK, the UK’s Cash Access and ATM network, announced the addition of a new banking hub in the town. The announcement followed a request from former MP, Alexander Stafford.

The hubs are dedicated places where communities can access everyday personal and business banking services, such as withdrawing and depositing cash easily, or paying in cheques, over the counter. Owned by Cash Access UK, funded by the banks, and run by the Post Office, they're a way of bringing back banking to the people and areas that need it.

Dinnington has been left without a major High Street bank since the closure of HSBC and NatWest.

A planning application has now been submitted by Cash Access UK Limited for new signage at 31-33 Laughton Road.

The former Lloyds Pharmacy is sitauted opposite to the Aldi supermarket and markets area that is due to undergo an £11m regeneration project.

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To date, LINK has recommended over 100 banking hubs, including ones in Wath, Rossington and Thorne. There are currently 34 banking hubs up and running across the UK, with dozens more set to open in the coming months.

Each Banking Hub has a counter operated by the Post Office where customers can access services such as paying in cash and cheques, withdrawing cash and paying bills.

Representatives, called community bankers, from the major banks, inlcuding NatWest and HSBC, are available on different days but availability will vary for each hub based on local demand.

Building work is underway on the 23,500 sq ft unit but no opening date has been given.

In Wath, a temporary banking hub has been created at Montgomery Hall on Church Street.

Cash Access website

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News: Dinnington recommended for new banking hub

LINK, the UK’s Cash Access and ATM network, has announced that residents and businesses in Dinnington, Rotherham could soon find it easier to access banking services thanks to the addition of a new banking hub in the town. The announcement follows a request from local MP, Alexander Stafford.

The hubs are dedicated places where communities can access everyday personal and business banking services, such as withdrawing and depositing cash easily, or paying in cheques, over the counter. Owned by Cash Access UK, funded by the banks, and run by the Post Office, they're a way of bringing back banking to the people and areas that need it.

Dinnington has been left without a major High Street bank since the closure of HSBC and NatWest.

Rothbiz reported last year that Wath is set to get a new banking hub after it too suffered a similar fate.

Banking hubs can be recommended by LINK through a community request or following the announcement of the closure of the bank branch in a location. Successful recommendations are determined by several factors including the number of shops in the area, demographics, and proximity to other banking services.

To date, LINK has recommended over 100 banking hubs, including ones in Rossington and Thorne. There are currently 34 banking hubs up and running across the UK, with dozens more set to open in the coming months.

Representatives form the major banks, inlcuding NatWest and HSBC, are available on different days but availability will vary for each hub based on local demand.

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Alexander Stafford, MP for Rother Valley, said: “I am delighted that banking services will return to Dinnington though the banking hub. I have been working with LINK and Cash Access UK to make sure that customers, businesses and all residents can have access to the banking services they need. I will never stop fighting for those in my area to be able to access the services they need, when they need it. This banking hub, alongside the £12m to rejuvenate the high street given to us by the Government, will do a world of good towards that goal.”

Cllr. Julz Hall, who represents the Dinnington ward, said: "As a local business owner, I am thrilled that we have secured a banking hub for our area. This will give people a reason to visit our high street and I really hope it will encourage them to buy coffee from an independent café and visit some of our shops while they are here. We also have huge potential for new businesses to set up here when the new units are completed, and access to cash will be a big positive for them. I am really excited about this new development."

Over the next few weeks, Cash Access UK will begin to engage with the local community and will start to look for potential sites. The hub will likely open in 12 months’ time.

Nick Quin, Head of Financial Inclusion LINK, said: “We’re very pleased to recommend a new hub in Dinnington. There are millions of people in the UK who are not ready to go cashless and prefer to conduct their banking face-to-face. If a community believes that it needs additional cash services, they can contact LINK directly and we can assess whether we can recommend new services such as a cash machine or banking hub.”

Cash Access UK website
LINK website

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News: New banking hub for Wath

Wath is set to get a new banking hub, the town's MP has confirmed.

In the north of the Rotherham borough, Wath was left without a High Street bank after two leading banks announced in 2017 that they were turning their backs on the town as part of closure programmes.

Following the previous closure of the Santander branch, CYBG PLC, the parent company of Yorkshire Bank (now Virgin Money), and HSBC, both announced that their Wath-upon-Dearne branches would close.

Branches have closed across the borough, and the UK, as the number of users fall as customers increasingly use other forms of banking such as online or via apps.

Now face-to-face banking is set to return to Wath with a Banking Hub. The hubs are dedicated places where communities can access everyday personal and business banking services, such as withdrawing and depositing cash easily, or paying in cheques, over the counter.

Representatives form the major banks, inlcuding Santandar, Virgin Money and HSBC, are available on different days but availability will vary for each Banking Hub based on local demand.

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Owned by Cash Access UK, funded by the banks, and run by the Post Office, they're a way of bringing back banking to the people and areas that need it.

Banking hubs are established by LINK who have identified need for access to cash and banking services to meet local demand, following bank branch closures in the community. The Post Office is then contracted to operate the Banking Hubs site and provide vital cash services to the local community.

John Healey, MP for Wentworth & Dearne, said: "There’s been a great strength of public support for my campaign to restore services over the past six years since we were left without any bank branches in the town.

"I’ve been working hard to make the case for a Banking Hub in Wath, including getting assessors out to see the need for themselves.

"The announcement will be welcomed by many residents who only bank in branch and can’t go online as well as our local businesses who need somewhere to go to access funding and deposit cash.

"The banking hub will now be delivered by Cash Access UK. Over the next few weeks, it will begin to engage with the local community and to start looking for potential sites."

Post Office website
Cash Access UK website

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News: TV retailer set to grow from new Rotherham premises

Electrical retailer, Crampton and Moore, has secured a seven-figure funding package from HSBC UK to support expansion.

The family-run retailer of televisions and home appliances, has used funding from HSBC UK to acquire the 40,000 sq ft former JTF building in Rotherham.

Rothbiz reported last year that JTF Mega Discount Warehouse had closed its stores, including one in Rotherham, having collapsed into administration.

Crampton and Moore will use the Catcliffe site as a new office space, warehouse and large showroom for its expanding range of products.

The funding from HSBC UK has enabled the business to diversify its product range and helped it achieve more efficient operations. The aim is to improve its delivery and installation service for customers through the expansion of its fleet.

The South Yorkshire company has grown turnover by 20% over the last two years and is now forecasting to double this in the next 24 months. It is set to hire five more employees once the move to Catcliffe is complete and will seek to bring in more delivery drivers as part of its ongoing expansion plans.

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Robert Moore, managing director at Crampton and Moore, said: "The relocation of our operations marks a major milestone for the business and means we can now progress with our exciting plans for further growth and development.

"We're grateful to HSBC UK for providing funding which helps us service the huge increases in product demand, whilst ensuring we retain our unique offering that combines the convenience of online shopping with our personal customer service. We're looking forward to a successful 2022 with a new state-of-the art office, warehouse and showroom facility."

David Leonard, relationship director at HSBC UK, added: "We're delighted to be funding the relocation of Crampton & Moore: a trusted family-run business which continues to put customers and the local market at the forefront of its plans. Having outgrown its existing premises, the business can now put its expansion strategy into practice, creating jobs for the South Yorkshire region."

Crampton and Moore website
HSBC website

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News: Gala Tent breaks records as it adapts to the "new normal"

Entrepreneurial management and the ability of the business to adapt quickly, has seen Rotherham-based Gala Tent rebuild and go on to process over £1m of orders in the month of July.

Founded in 1999, Gala Tent is one of the UK's leading producers of marquees, tents and gazebos.

Its marquees, that are usually the lifeblood of the hospitality and events industry, are now resurrected as pop-up coronavirus testing stations, social distancing queue shelters, entry and exit checkpoint tents, as well as providing garden shelter for homeowners and home workers. Pubs and hotels are snapping up commercial grade structures to increase capacities during the social distancing era.

The Manvers company is almost back to full strength, following the Prime Minister's recent easing of lockdown restrictions and a massive boom in marquee and gazebo sales.

Jason Mace, CEO at Gala Tent (pictured, left), said: "There were plenty of other firms and individuals in the same boat as us. Too successful for some financial concessions, not successful enough for others, and of course insurance covered very little so we had to remain open. We’ve always battled whatever came at us, though, and we've always won."

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The first month of lockdown was particularly brutal for Gala Tent. Jason, alongside co-owner and brother-in-law Mark Thompson, were forced to furlough a majority of our colleagues, retaining a small skeleton team and our bosses themselves were working shifts in the distribution centre for zero wage to ensure the business stayed alive.

Behind the scenes, the team working from home spent their time pivoting our strategies to reflect the current climate, and quietly set about improving the business operation to prepare for when life might return to normal.

Thompson said: "You do what you have to do to survive. We spent the early years of the company doing just that, working all hours for no wages, to build it up to what we are today. Nobody at Gala Tent is scared of a little hard work."

Using a restructured finance facility with HSBC UK, the company has been able to pivot the business.

In June, Gala received the biggest ever monthly web traffic to the site, but that was nothing compared to July. Only four months after Prime Minister Boris Johnson locked down the country in an effort to stem the flow of the coronavirus outbreak, Gala Tent staff processed £1.1m of orders. In the process, the firm posted a massive 34% growth versus last July, and had a further 25% increase in traffic to the website.

Another businesses under the Gala umbrella, Gala Graphics, has also seen a recent influx of demand for its printed services which includes the launch of a series of exclusive Social Distancing Floor Markers, Banners and Signs.

Meanwhile, Gala Technology, which specialises in customer not present payment solutions, has seen a major update in providing payments solutions for home workers along with some major partner deals.

Mace added: "It's amazing. It's a credit to my team that we were all able to pull together when things were at their most uncertain, and keep the ship steady. It’s important to have that confidence that if a crisis occurs and you find all roads closed off, you know you can head off road and find success on your own terms."

Gala Tent website

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News: Rotherham recruitment firm in MBO

The managing director at Industrial Personnel Limited has taken on the role of sole director after successfully concluding a management buy-out (MBO).

The leading independent provider of temporary and permanent recruitment services into engineering, manufacturing and logistics environments across Yorkshire, has undergone a change in the shareholding structure with MD Phillip Buckley, who previously owned 50% of the company, acquiring the rest of the shares to put the company into his sole ownership.

Since the formation of the company in 1995 Industrial Personnel has become Yorkshire's leading provider of temporary and permanent, skilled and semi-skilled blue-collar workers for industrial, commercial and technical roles for several of the region's largest and most prestigious engineering and manufacturing businesses.

The company has experienced significant growth in the past few years which is continuing in the current year and following completion of the buy-out the plan is to accelerate that growth, which includes building the infrastructure and management team required to take the business to the next level.

Phillip Buckley, managing director at Industrial Personnel Limited, said: "We are experiencing year-on-year success in the business as a result of a hard-working team and continued focus on relationship building with our clients and workforce. Our USP has always been our exceptional customer service, and it is this we intend to continually improve whilst expanding into other markets. We are now looking to open a new office in the West Yorkshire area which will cement the relationships we already have in that area and enable us to roll out our successful business model further afield. The future is very bright indeed."

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Sheffield based dealmakers Castle Square Corporate Finance provided corporate finance advice to the leading negotiations on the deal structure, and successfully delivered the fundraising process on behalf of management.

Kevan Shaw and Patrick Lynch from the Castle Square team led on the deal, running a structured process which resulted in HSBC being selected to provide the necessary finance to complete the transaction.

Patrick Lynch, corporate finance executive at Castle Square, said: "Following several years of year-on-year revenue and profitability growth, it has been fantastic to have advised Phillip and the wider management team on a transaction that will provide a platform for the company's next stage of growth."

Freeths Sheffield based corporate team, led by Adrian Hackett and Eerik Kukebal, provided legal advice on the transaction, which included specialist input from Freeths Sheffield corporate tax, banking and employment teams.

Eerik Kukebal at Freeths said: "We are delighted to have worked with Castle Square and HSBC on this management Buy-Out. The objective of the transaction was achieved through effective collaboration and great teamwork of all the parties and allows the company to move to its next level of growth."

Following the structured debt fundraising process led by the Castle Square team, HSBC emerged as the preferred funding partner, providing the acquisition finance on the transaction alongside working capital facilities.

Chris Alsop, corporate banking relationship director at HSBC, said: "Industrial Personnel are a long-established niche service provider with an excellent management team. I am confident they will grow their market share even further over the next few years."

Supporting HSBC were, Keebles LLP Sheffield based corporate team lead by James Burdekin, with legal advice on the funding and Adam Ames from Shorts Chartered Accountants Sheffield office, provided financial due diligence advice.

Industrial Personnel Limited website

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News: MBO at Rotherham manufacturer

Rotherham headquartered Harvest Healthcare, a leading manufacturer and supplier of high-quality healthcare equipment, has changed ownership in a Management Buy-Out (MBO) led by managing director, Neil Davis.

Based at Templeborough, Harvest Healthcare manufacture and distribute quality healthcare equipment to the NHS, care home and community markets, throughout the UK and internationally. The company manufactures, supplies and services active and static mattresses and cushions, profiling beds, and moving and handling equipment. It has long term relationships with several national blue-chip care home groups as well as serving most local authorities around the country.

The deal, for an undisclosed sum, sees Davis acquire all of the shares in the company from founders Phil and Jim Hutchinson. Both Phil and Jim have steadily reduced their involvement in the day to day running of the company over the last few years.

Sheffield based dealmakers, Castle Square Corporate Finance, provided corporate finance advice to the management team, leading negotiations on transaction value as well as deal structure, and also running the fundraising process alongside law firm, Keebles who provided legal services and advice. HSBC provided the necessary finance to complete the transaction.

Davis joined the company in February 2017 and has transformed the fortunes of Harvest, delivering significant growth in turnover and profit, culminating in him being given an opportunity by the owners to put together a MBO bid.

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Neil Davis (pictured) said: "I am proud and excited to have the opportunity to lead the long-term development of Harvest Healthcare, and am grateful to the professional team who have helped make this possible. We are determined to help more and more customers provide exceptional care to their residents and patients, whilst building fulfilling careers for our staff, and growth opportunities for our supply chain partners."

Patrick Lynch, corporate finance executive at Castle Square, said: "It is fantastic to have advised the highly experienced and successful managing director and entrepreneur Neil Davis on the transaction. During the last 21 months Neil has been supported by the wider management team, in particular finance director Tim Woods, who has also provided tremendous support throughout the transaction.

"The buy-out gives Harvest the platform build on the recent success and continue to manufacture and supply innovative high-quality equipment supplied into multiple healthcare environments."

Matt Ainsworth, corporate partner at Keebles, added: "We are delighted to have worked on this transaction. Harvest Healthcare is a great example of some of the fantastic businesses we have in South Yorkshire that local funders and deal advisory teams can support. We are confident that Neil and Tim will capitalise on the huge potential in the care sector to drive the business forward."

Following the structured debt fundraising process led by the Castle Square team, HSBC emerged as the preferred funding partner - providing the acquisition finance on the transaction alongside working capital facilities.

Chris Alsop from HSBC's corporate team in Sheffield, said: "I am very happy to back this strong management team whom I am confident will take Harvest Healthcare from strength to strength."

HSBC were advised on the legal aspects of the transaction by Irwin Mitchell and financial due diligence was provided by Sheffield's BHP team. Hollis & Co provided specialist tax due diligence.

Harvest Healthcare website
Castle Square website
Keebles website
HSBC website

Images: Harvest Healthcare / Will Armson

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News: Wolf Components lay foundations for growth with HSBC backing

Wolf Components, a new start-up manufacturer based in Rotherham, has secured a multi-million-pound funding package from HSBC to support ambitious growth plans.

Rothbiz reported earlier this month that the company has taken on a unit at Waddington's Aldwarke Wharf speculative development in Rotherham having been established in Spring 2017 after owners Anthony Joyce and Stephen Baul spotted an opportunity in the market for British-made bed springs to supply British mattress manufacturers.

Anthony Joyce is the former managing director for UK and European bedding manufacturing at Steinhoff International (which operate the Bensons for Beds, Harveys brands in the UK), and Stephen Baul is a former executive at US manufacturer, Legett & Platt.

The pair approached HSBC for funding and have since been able to purchase manufacturing machinery for their Rotherham facility.

At present, the business employs 12 people but has ambitious plans to double its workforce over the next 12 months.

The funding will support Wolf Components' ambition to become a £13m turnover business within three years as it serves markets in the UK and Central Europe.

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Anthony Joyce, owner of Wolf Components (pictured, right), said: "Since establishing the business earlier this year we have focused on setting up a UK manufacturing base and understanding the requirements of our clients.

"The funding package from HSBC puts us in a great position to move forward with our growth plans, which includes increasing business across the UK and Europe and expanding our local workforce in Rotherham."

The deal was completed by Lee Manterfield, a relationship director in South Yorkshire Corporate Banking, Paul Bryne from HSBC equipment finance, and by Robert Watson, a managing partner at Gibson Booth, who acted on the client's behalf.

Mike Swift, area director for West and South Yorkshire at HSBC (pictured, left), said: "Wolf Components is a great example of the type of dynamic business we are delighted to support.

"The owners have considerable experience and knowledge of the market and have identified a great business opportunity, with strong potential for growth.

"We look forward to seeing their business thrive."

Wolf Components website
HSBC website

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News: Whirlowdale deal stacks up for Scott Group

Rotherham-based Whirlowdale Trading Co Ltd (WTC), one of the UK's leading suppliers of pallet and transit packet solutions, has been acquired by Scott Group, a leading industrial supplies organisation base in Fife.

A family owned business that has been trading for over 35 years, Whirlowdale specialises in the supply of new and reconditioned panels to the food, retail, manufacturing, construction and pharmaceutical sectors. It began life as a solution to what to do with unwanted pallets in the food wholesale business and has grown into the UK's largest trader of used pallets.

The deal, for an undisclosed sum, will provide additional operational capacity and capability nationally, particularly in the reconditioned business, for the Scott Group which believes that the two businesses are ideally positioned to offer security of supply and support to customers in all parts of the UK across a diverse range of industry sectors.

Whirlowdale employs 85 staff and operates its pallet manufacturing and reconditioned business from eight locations in Rotherham (head office and site, both at Canklow), Burton, Rainham, Sedgefield, Birtley, Lincoln and Castleford.

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Alan Gibson, managing director at Scott Pallets, said: "The combined businesses will deliver enhanced security of supply through access to our exceptionally well established, diverse and controlled reconditioned pallet supply chains. WTC is a well-invested business with a particular strength in reconditioned pallet trading and facilities including strategically located sites, automated pallet production facilities, all adding significant service capability to our current offer.

"Customers will also benefit from our exceptional combined in-house depth of industry knowledge and technical competence. Together this will deliver industry leading, innovative service developments to support our customers, particularly in relation to sustainability and environmental objectives."

Andrew Pearce, the previous owner of Whirlowdale, added: "I'm delighted to be remaining as a director of the business and to be able as part of Scott Group to offer customers a more comprehensive choice. Our combined range of pallet products and services, delivered nationally is exceptional."

The deal was supported by HSBC with BTO and Campbell Dallas acting as advisers to Scott Group, and BHP Corporate Finance and hlw Keeble Hawson advising WTC and its shareholders.

Founded in 1987, Scott Group has grown considerably over the past 30 years through numerous acquisitions and organic growth across the UK and into Europe. Today it employs over 1,000 staff and has a £100m+ turnover.

Whirlowdale website
Scott Group website

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News: Horbury builds portfolio with property services business

Rotherham construction group, Horbury, has established a new trading company dedicated to providing facilities management, maintenance and refurbishment, called Horbury Property Services.

From its headquarters in the Moorgate area, the group combines a number of subsidiaries that specialise in areas including joinery, ceilings, dry lining and health and safety training.

Expansion at Horbury is backed by £2.5m from the Business Growth Fund (BGF) and a £6m funding package from HSBC. The finance secured in 2014 was to support a move to tender for larger, and a greater quantity of, projects and significantly increase its workforce.

The Group, which has a 25-year trading history and a workforce of over 1,000, has responded to demand from clients by creating a dedicated business that offers vital services in existing property estates.

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Heading up the new division is Richard Sutton who has been recruited as general manager. Richard has almost 30 years' experience in property services, including senior management positions for a large regional mechanical and electrical (M&E) contractor and most recently as Head of Service at Yorkshire Housing.

Richard (pictured, left), said: "I am looking forward to developing this exciting new business and securing new opportunities in the commercial, local authority, education and health sectors for our wide range of property services. We will also be creating a number of jobs within the new business and have already been successful in securing inclusion on a major national facilities management framework."

The new Horbury Property Services business, which will be based in Rotherham, provides a full range of services, which should be part of planned preventative maintenance programmes, including inspection, installation, repair and maintenance of fire doors, joinery works, fire stopping, sealing, fire compartmentation, fire alarm and emergency light testing, portable appliance testing, electrical testing and installation work, building fabric repairs as well as external cladding and render repairs.

Sutton added: "There is vital work to be done to ensure buildings are safe to occupy and compliant, through regular inspections, repair works, refurbishment and planned preventative maintenance. We'll be working closely with building owners, landlords, main contractors and local authorities to make sure their buildings are compliant, operationally efficient and that their risks are reduced to a minimum."

Trevor Wragg, chief executive of Horbury Group (pictured, right), said: "We have experienced significant growth of the Group over the past three years since investment from the BGF (Business Growth Fund) enabled us to embark on a programme of expansion based around existing specialisms. We have offered hard FM services for several years, but now with a dedicated business and the expertise of Richard and his team, we are very excited about the future that this new focus will bring."

Horbury Group website

Images: Horbury Group

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News: X-Cel's AMP expansion set to continue

X-Cel Superturn, a global manufacturer of machined components, is pressing ahead with expansion plans on the Advanced Manufacturing Park (AMP) in Rotherham.

In 2012, the Attercliffe firm announced that it would expand its current operations to a new 14,000 sq ft facility at the Evolution development on the AMP after securing a £6m contract plus financial backing from HSBC.

Continued growth and diversification meant that the main manufacturing plant at Atlas North was running out of space and the AMP site became home to the Gasket and Seal division.

In 2015, the firm expanded again and went from Evolution to R-evolution on the AMP after finalising a deal to buy a 30,000 sq ft industrial unit for £2.75m.

Now plans for a further 40,000 sq ft expansion are set for approval.

The planning application includes a 20,000 sq ft extension to the existing unit and the erection of a separate 20,000 sq ft unit at the R-evolution development. X-Cel is planning to move the lighter engineering processes from its Sheffield site where drill tool products continue to be manufactured.

The applicants state that the extension, which will face Sheffield Parkway, will allow for expansion and increase employment for their business.

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Members of the planning board at Rotherham Council are being recommended by officers to approve the application, subject to a number of conditions.

The site is within the Sheffield City Region Enterprise Zone which means that businesses benefit from fast-track planning alongside business rate relief and enhanced capital allowances.

Landowner and developer, Harworth Estates had plans approved last year for engineering works to level an artificial valley between the Sheffield Parkway embankments and the embankments associated with existing development platforms in the AMP. The works are close to completion and will enable the X-Cel expansion to take place.

JF Finnegan is also on site as part of a £3.5m design and build contract for a further 52,000 sq ft of space which is set to complete soon.

Turnover has grown at X-Cel to over £30m and it employs 130 people across its sites in Sheffield, Rotherham and Batley. In 2016 the company had international sales of £18.2m, with an impressive annual international sales growth over the previous two years of 42%.

There are nearly 1,000 people employed at the AMP, with the potential for over 2,000 new jobs to be created through further development.

X-Cel Superturn website

Images: Harworth Estates

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News: Closures could leave Wath without a bank

Two leading banks are turning their backs on the Rotherham town of Wath as part of their closure programmes.

Last week, CYBG PLC, the parent company of Yorkshire Bank, announced that the Wath-upon-Dearne branch would close in May as part of plans to reduce its branch network as part of the bank's strategy to create "a truly integrated digital, mobile, telephone and branch service for its customers."

And this week, HSBC announced that its Wath branch would close this year as it brings its branch restructuring programme to an end.

With the previous closure of the Santander branch, Wath could be left with a High Street bank.

Companies say that the decision to close branches reflects a change in the way customers are banking. Since 2011, the number of customers using their bank for day-to-day transactions across the banking industry in the UK has fallen by a third. This ongoing decline in branch usage, married to a sharp and sustained increase in digital and mobile engagement, has driven a shift to providing greater access to day-to-day banking services remotely, on the move and outside of normal business hours.

Over the past five years, the number of customers using HSBC branches has fallen by almost 40%. 93% of customers' contact with the bank is now completed via the telephone, internet or smartphone, and 97% of cash withdrawals are made via an ATM.

Yorkshire Bank said in a statement that its first priority is to its customers and will be "working extensively with impacted customers, local communities and relevant stakeholders to ensure that the transition to their new branch is as smooth and as sensitive as possible, particularly where vulnerable customers are concerned."

It added that; "It is also the Bank's intention to try to find roles for frontline branch staff either within other branches or elsewhere in the Bank, wherever possible" but with 39 branches set to close in 2017, Yorkshire Bank staff will be at risk of redundancy.

HSBC said that it will seek to redeploy as many of the people impacted as possible although it is expected that the planned closure of 62 of its UK branches in 2017 may result in up to 180 redundancies.

Announced last year, the Wickersley, Dinnington and commercial branch at the Sheffield Business Park of HSBC are all set to close on February 17.

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Francesca McDonagh, Head of Retail Banking and Wealth Management for UK and Europe at HSBC, said: "The way our customers bank with us is changing. More customers are using mobile and internet banking than ever before, innovation such as Touch and Voice ID has proved extremely popular, and fewer people are using branches. More than 90% of our interactions with customers are now through our digital channels – an increase from 80% last year.

"The decision to close these branches ensures a more sustainable branch network for the future as we continue to invest in our digital platforms and our people. We will have fewer but better branches, with more empowered front line colleagues using a greater range of technology to support all our customers' needs.

"Our priority now is to work with our colleagues, our customers and the communities impacted by today’s announcement. We are contacting customers to explain the decision and help them with alternative ways to bank with us. We will offer customers individual sessions to help explain their options or provide help in setting up telephone, mobile or internet banking."

John Healey MP, whose Wentworth and Dearne constituency includes Wath, has reacted strongly to the announcements. He said: "I am angry. The decision of both banks to pull out of Wath is a disgrace. Banks are supposed to be "service" companies but by pulling out of Wath they are badly letting their customers down.

"The banking system had strong support from taxpayers after they caused the global financial crisis and recession in 2008, now they should be standing by their communities.

"Wath is known as the queen of villages but this could rip out the heart of the town.

"I have been in contact directly with the chief executives of both banks to let them know how concerned I am by their decision, and I will do everything I can to get them to change their minds."

HSBC website
CYBG website

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News: Coptrz set to take off

Innovative Rotherham company, Martek Marine, is flying high, establishing a new division specialising in commercial drones.

Based at Manvers, Martek is one of the world leaders in the supply of safety and environmental monitoring systems for the shipping industry. It has expanded into different areas including the medical sector, supplying defibrillators to airlines and leisure and sport venues.

Having secured a start-up funding package worth £250,000 from HSBC, the group has now established Coptrz with the aim of revolutionising business using drones.

Drones, or unmanned aerial vehicles (UAVs), are becoming incredibly useful tools for marine and offshore companies with Martek supplying marine-specific drones that are developed to fly inside confined spaces and outdoors, making them ideal for safety inspections on tanks as well as offshore structures such as wind turbines and flare stacks.

The company spotted a gap in the market for commercial drones which could be used in a variety of sectors and industries throughout the world, including marine and emergency services.

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The funding has enabled Coptrz to invest in the manufacturing and marketing of its products and to focus on increasing its exports into Europe, as well as consolidating its market share in the UK.

The business is expected to increase turnover to a projected £1.7m in its first year, rising to £5m the following year.

In addition, the funding package has facilitated the recruitment of two new members of staff who have joined the existing Coptrz team at its Rotherham headquarters to ensure the business keeps up with increasing demand for its products across the globe.

Steve Coulson, director at Martek Marine Ltd, said: "After extensive research, we have identified the significant potential for growth in this market.

"The funding package from HSBC has been instrumental in ensuring Coptrz has a solid start. The bank's support and international reach has also allowed us to begin implementing our export strategy and to recruit the talent we need to make Coptrz a successful part of the wider Martek Marine business."

Mike Swift, area director for West and South Yorkshire at HSBC, added: "We have worked with Coptrz from the beginning and it is an excellent example of a UK business having both innovative products and an export-led growth strategy.

"The finance package has supported the business in pushing forward into different international markets such as Germany, USA and the Far-East by assisting with its international travel and direct sales costs. We look forward to seeing their business thrive."

Coptrz website
Martek Marine website

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News: Funding gives Horbury Group firm foundation for growth

Rotherham construction group, Horbury, is reporting a strong order book and has already secured £14.9m of orders for the 2016/17 financial year.

From its headquarters in the Moorgate area, the group combines a number of subsidiaries that specialise in areas including joinery, ceilings, dry lining, health and safety training, and recruitment.

Horbury has published its first financial results since securing £2.5m from the Business Growth Fund (BGF) and a £6m funding package from HSBC. The finance secured in 2014 was to support a move to tender for larger, and a greater quantity of, projects and significantly increase its workforce.

For the year to May 31 2015, the group reported a turnover of £50.9m, down from the £53.1m in the previous year. This meant that a pre-tax loss of £375,620 was posted for 2015, compared with a profit of £84,046 in 2014. Horbury said it was working in a market where "competition for resource is driving cost inflation."

The report stated: "Whilst Group turnover decreased by £2.2m or 4.1% between 2014 and 2015, this was a result of the board's deliberate strategy of targeting more lucrative contracts with higher gross profits, rather than buying work at lower margins. The successful outcome was an increase in gross profit percentage from 13.2% in 2014 to 14.1% in 2015, with the resulting gross profit being £0.2m higher in 2015 than in 2014."

The report also shows that the BGF - which was established in 2011 to help Britain's growing smaller and medium sized businesses and is backed by Barclays, HSBC, Lloyds, RBS and Standard Chartered - invested again in Horbury with a further £1m in loan notes in June 2015 as well as committing to an additional £1m of funding over the next 12 months to help the group meet its growth aspirations.

Looking ahead, Horbury is reporting a strong order book and that sales are expected to be delivered at gross profit margins above those seen in 2015. It adds: "Orders worth £14.9m have already been secured for 2016/17, which coupled with the continuing improvement in both the economy and construction sector, lead the board to be confident about the group's financial performance going forward."

The Horbury Group, which formed in Sheffield in 1993 as Horbury Building Systems, has gone from strength-to-strength over recent years, increasing its turnover from £1.4m in its first year. Expanding nationwide, the company already has a workforce of 800 people.

Subsidiaries provide internal fit out services including partitioning, ceilings, joinery and flooring to major construction companies including Carillion, Balfour Beatty, Kier, and Shepherd Construction. They have worked on a range of high profile projects including the Manchester Civil Justice Centre and The Co-operative's headquarters in Manchester (pictured), the Queen Elizabeth Hospital in Birmingham and the City Lofts development at St Paul's Place in Sheffield.

Horbury Group website

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News: Timber Garden Buildings invests £1.3m in new Rotherham site

Rotherham manufacturer, Timber Garden Buildings Ltd, has secured a new 152,000 sq ft site in the borough by purchasing the former home of KP Nuts in a £1.3m deal.

Established in 2007, TGB is already based at Eastwood where it manufactures sheds, summerhouses, playhouses, garages, kennels, storage units and bespoke special buildings.

Supported by financial incentives from Rotherham Council and £1.5m from the Regional Growth Fund (RGF) via the Sheffield City Region Local Enterprise Partnership, KP Snacks moved across the borough in 2014 to a new £16m facility at the 141,000 sq ft Hellaby 140 development. KP began life in 1853 selling sugar, confectionery, jams and pickles. Production of KP Nuts began in Rotherham in the 1940's and the Eastwood factory produced around 140 million packs of nuts each year.

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Prospect Estates, a property investment and development company based in West Yorkshire, acquired the Chesterton Road property which covers 4.8 acres and comprises of three units at approximately 32,000, 42,000 and 910,000 sq ft with six dock-level loading doors, approximately 32,000 sq ft of offices, canteen, gate house and large loading and car parking area.

Graham Vernon, managing director of Timber Garden Buildings Ltd (pictured, left), said: "The Chesterton Road site is perfectly positioned for our operations and enables us to expand the business through a more suitable manufacturing base and distribution set up.

"The decision to purchase the entire site was helped by the efficient legal advice from Wake Smith and marks a significant landmark in the development of our business."

With Wake Smith Solicitors completing the legal work for Timber Garden Buildings Ltd and Addlestone Keane Solicitors acting for Prospect Estates, the deal saw the Sheffield office of Knight Frank conclude the sale. The purchase was financed by HSBC.

Ben White, senior surveyor at Knight Frank (pictured, centre), said: "We originally acted on the sale of the Chesterton Road site to Prospect Estates when it was disposed of by KP Nuts.

"And we further assisted Tim Whittaker at Prospect Estates by subsequently letting the units to Royal Mail for approximately three months before the recently completed sale to Timber Garden Buildings Ltd, so we have been on quite a journey to reach this point."

Tom Weightman, solicitor at Wake Smith (pictured, right), added: "We were appointed to handle the legal aspect of the Chesterton Road site sale on behalf of Timber Garden Buildings and saw this as a great project which has enabled our client to reach new operational standards and retaining a South Yorkshire base."

TGB Sheds website

Images: Knight Frank

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News: Gala Tent bank on bigger premises

Rotherham-based Gala Tent Ltd, the UK's leading distributor of marquees and gazebos, plans to expand with the purchase of a 22,000 sq ft warehouse and office space, backed by £3.6m of funding from HSBC.

Founded in 1999, Gala Tent has grown to sell over 15,000 tents and marquees each year, along with around 100,000 event accessories and furniture products. It grew from a table top operation in Grimethorpe to a company with a turnover of £10m having moved into new 53,000 sq ft headquarters at Fairfield Park in Manvers in 2011.

Having entered into a financial partnership with HSBC in 2012, the bank continues to back Gala Tent's growth plan and has also provided a further £1m facility, enabling the business to immediately hire six new employees to support the latest premises, with further local jobs to be created in the area.

An equipment finance facility of £250k has helped Gala Tent invest in state-of-the-art equipment, making it the first and only UK business to be capable of printing high definition images and graphics on marquees. This investment will allow Gala Tent to upgrade its manufacturing process.

Other aspects of the finance package include foreign exchange and electronic banking facilities, which are primarily used by Gala Tent to sustain its import activities.

Jason Mace, founder and managing director at Gala Tent (pictured left), said: "Our partnership with HSBC has helped us realise our expansion plans, while enabling us to hire new talent. From investing in more sophisticated technology to demonstrating credibility to global suppliers, our partnership with HSBC has been instrumental at every step of our growth."

Mike Swift, head of corporate Banking in South and West Yorkshire at HSBC, added: "Gala Tent is a market leader in its field and is actively expanding its range of operations, products and services. It is a growing business with ambitious plans, and we are pleased to be part of this exciting period, supporting its growth."

Further plans include developing the export side of the business. A set of websites were created by the Gala team and taken on by overseas distributors with their own warehouse space who could then translate them and do the selling in return for exclusivity.

Eleven distributors are in place in the EU, along with one in Iceland.

At the end of 2015, the award-winning company revealed that Sir David Richards, chairman of the FA Premier League and former chairman of Sheffield Wednesday (pictured, right), had invested in a Gala Tent.

Gala Tent website
HSBC website

Images: Gala Tent

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News: HSBC launch SME fund

HSBC has launched its most ambitious ever package of support for small and medium-sized companies (SMEs) in the UK, with around a £700m set aside for Yorkshire businesses.

The national £8 billion SME fund will be allocated in 43 local tranches across the country, signalling HSBC's commitment to increase support for British small business. In addition to the fund, arrangement and HSBC security fees on qualifying business loans worth between £1,000 and £300,000 will be waived or refunded through to the end of July.

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Ian Stuart, head of UK commercial banking at HSBC, said: "We're hugely proud of our unique international network, but too often we've heard smaller, domestic businesses ask whether we are as committed to them as we are to big global firms.

"I want to show UK businesses that we are right behind them, whatever the size of their ambitions. We currently approve more than 85% of lending applications, and our net lending to business is up in 2015 – but we want to do even more. Our £8 billion fund is an aspiration, not a limit, and waiving fees from our business loans could save the average firm hundreds of pounds."

Antonio Simoes, UK chief executive at HSBC, added: "It's vital that SMEs across the country, from start-ups and sole traders upwards, know that HSBC is there to support them. We want to be their bank of choice. That's why we've launched our largest ever package of support, with £8 billion available to lend and a promotion designed to make it cheaper and simpler to borrow for your business."

The bank also said that it would be organising more than 300 workshops nationwide over the 12 months, aiming to support 10,000 businesses in seeking to grow from start-ups to established firms looking to grow. 18 months of fee-free business banking for start-ups is also being offered, and 12 months for existing SMEs who switch.

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News: HSBC backs X-Cel Superturn's AMP expansion

A £3m commercial mortgage from HSBC has enabled X-Cel Superturn, a global manufacturer of machined components, to secure new premises on the Advanced Manufacturing Park (AMP) and increase the space available to the business three-fold.

In 2012, the Attercliffe firm announced that it would expand its current operations to a new 10,000 sq ft facility at the Evolution development on the AMP in Rotherham after securing a £6m contract plus financial backing from HSBC. Continued growth and diversification meant that the main manufacturing plant at Atlas North was running out of space and the AMP site became home to the Gasket and Seal division.

Fitted with the latest CNC machinery, the AMP facility manufactures proprietary metal seals and drill parts for the Subsea and Surface Tree manufacturers around the globe. It has allowed the company to increase its production capability and take advantage of new opportunities in the UK and overseas in the petrochemical power generation, aerospace and construction sectors.

X-Cel Superturn is now going from Evolution to R-evolution on the AMP after finalising a deal to buy a 30,000 sq ft industrial unit for £2.75m.

The growing firm recently bought the newly-completed unit from Rotherham Council in order to triple the size of its operation at the Enterprise Zone. In March 2014, landowners and developers, Harworth Estates, signed a £4.3m forward-purchase agreement with Rotherham Council for Plots 3 and 4 of the R-evolution development on the Waverley site. With construction almost complete, the council's cabinet approved the sale of Unit 3 in November.

Andrew Taylor, managing director of X-Cel Superturn, said: "We are a rapidly growing business and have grown out of our current leasehold premises. This purchase of new freehold premises will help make us stronger and achieve our short-term and medium-term ambitions. This is a very exciting time for our business and I am pleased HSBC has backed this transaction."

Mike Swift, head of Corporate Banking for South & West Yorkshire at HSBC, added: "We have worked with X-Cel for a number of years and this transaction strengthens the relationship further. X-Cel is an ambitious business that has continued to invest to take advantage of growth opportunities within its sector.

"We have a strong appetite to support the growth of mid-market businesses like X-Cel Superturn and are pleased to be part of this exciting period, helping them take forward their growth plans."

Andrew Fielder at Banner Jones Solicitors acted for X-Cel, whilst Martyn Holland from Irwin Mitchell acted for HSBC.

Turnover has grown at X-Cel to over £30m and it employs 130 people across its sites in Sheffield, Rotherham and Batley.

X-Cel Superturn website

Images: X-Cel Superturn

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