News: SBD Apparel invests £12m in new Rotherham manufacturing facility

A purpose-built factory which will produce high-end sportswear for top-flight athletes has reached completion in Rotherham.

The 100,000 sqft development on the Advanced Manufacturing Park (AMP) in Rotherham is for end user, SBD Apparel.

SBD Apparel is a world-renowned sports brand manufacturing premium performance clothing and strength supports which are worn by elite strength and fitness athletes across the world. It is well known for its affiliation with the World Strongest Man competition.

Having moved its offices and warehouses closer to its main factory in Rotherham five years ago, SBD has expanded its workforce from four to 125 staff, increased turnover by over 600% and now supports over 200 professional athletes.

Following £1.5m of grant funding from the South Yorkshire Mayoral Combined Authority, Freeths was instructed by SBD Apparel in June 2020 in connection with the purchase of a circa 3.76 acre plot of land at the AMP from Harworth Estates Investment Limited, together with a simultaneous Development Agreement for Harworth to carry out the proposed development.

Freeths legal team included Real Estate Partner John Flathers, Corporate Partner Peter Crawford, Managing Associate Marie Mulligan and Associate Robert Mander, supported by Associate Victoria Price and Legal Assistants Molly Happs and Josephine Connery.

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The £12m acquisition of SBD Apparel’s new site also included the construction of a bespoke industrial unit, creating over 200 new jobs, and additional land for future expansion supporting SBD Apparel’s ongoing plans for growth.

William Islip, commercial director at SBD Apparel, said: "We are delighted to make this significant investment within the South Yorkshire economy which is key to the continued delivery of our long-term growth strategy. We are grateful for all the hard work undertaken by everyone at Freeths to ensure this transaction was completed within the agreed timeframe."

John Flathers at Freeths, added: "We were really pleased to act for SBD Apparel on the development of their impressive new 100,000 sq ft building at the Advanced Manufacturing Park, Rotherham. This was a real team effort over a two-year period and with over 200 new jobs created for the region, it is fantastic to see SBD Apparel go from strength to strength and also investing in the South Yorkshire economy.”

Delivered on time and on budget, main contractor Lindum York, has recently completed the construction of the new facility which includes 52,500 sqft of production floor space and 30,000 sqft of offices over three floors, plus warehousing and car parking.

SBD Apparel website
Freeths website

Images: Lindum / Harris Partnership

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News: MBO at Rotherham alloy firm

Rotherham-based Alloy Services Limited has been acquired in a multi-million-pound management buy-out.

The £30m turnover processor and supplier of speciality alloys is based in Dinnington and was established over 25 years ago by Alan Fisher. It has developed to become one of the UK's leading specialists in processing and recycling high-temperature alloys and metals. The company supplies products for extremely demanding end-use applications, in industries such as aerospace, oil & gas and medical.

The company has been acquired by its managing director, Stephen Hall, with funding to support the transaction provided by Shawbrook Bank.

Hall said: "Firstly, my thanks must go to Alan who has nurtured and developed Advanced since its inception over 25 years ago. It's this legacy that I will be building on, and I'm absolutely delighted to have the opportunity of taking this exceptional business into the next chapter of its growth. We will of course be continuing to work closely with our suppliers and customers, with the support of the fantastic staff here at Advanced."

BHP Corporate Finance acted as lead advisor on the transaction.

Kevin Davies, partner at BHP, said: "I am delighted to see Advanced Alloys step into this next exciting stage, Stephen has ambitious plans for the future of the business. An innovative funding package was required to support both the structure of the deal and Advanced's working capital cycle. It is further demonstration of the funding appetite we are seeing for carefully prepared and structured transactions."

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Nick Salmons from Shawbrook Bank, added: "At Shawbrook we've worked on a number of advisor-led MBOs this year and this is a great example of how working closely with the team at BHP and Advanced Alloy Services has delivered another solution that doesn't just support the transaction but also provides the headroom to deliver further growth."

Peter Crawford and Emily Pogson of Freeths provided legal advice. Peter said: "Advanced is a very strong business with a great future ahead of it. We have enjoyed working with Stephen to bring this transaction to completion and we look forward to watching Advanced continue to develop and grow under his direction."

Other local advisors to the transaction were Paul Trudgill and James Burdekin of Keebles who acted for the vendors, and Dean Gormley and Hayley Johnson at Irwin Mitchell who acted for Shawbrook.

Advanced Alloy Services website

Images: Shawbrook Bank

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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

Images: UKSE

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