This well-established business, that has been operating for nearly 30 years, provides out-sourced M&E maintenance services for the industrial, commercial, and domestic sectors. Overall, it offers engineering consultancy, mechanical maintenance, precision engineering, fabrication services and electrical services from its base in the Midlands.
The business targets a wide range of customers, focusing on users of large-scale production and process equipment and key local industries (aerospace, rail, and electrical engineering). It’s engineers often work on the customer’s site including some offshore work. Machining, Fabrication & Welding and Electrical services are provided both as part of larger projects and as stand-alone activities.
The business has built a strong reputation as being able to solve problems on behalf of its customers, it’s capability as a problem solver is founded in the many years’ experience of plant and machinery maintenance and repair often requiring innovative solutions to minimise interruption to production and machine idle time.
The busines provides out-sourced maintenance people/teams on several customer sites and at any one time there are up to 10 of its’ employees working at customer sites. It has preferred supplier status with a number of local businesses for their mechanical maintenance needs.
The modern factory comprises some 20,000 sq. ft. of production area split equally between the machine and fabrication Shops – there is cross-contamination control in place. It is well-equipped with a range of conventional and CNC machine tools and fabrication equipment with necessary crane facilities in place. There is also office space of c.4,000 sq. ft.
The business is an ISO 9001:2008 registered company and is a NAPIT Approved Contractor complying with the latest wiring regulations defined in BS7671:2008.
Annual sales in the current year, pre-COVID, were expected to be around £4.5M generating an Adjusted EBITDA of c £550k. Sales over the past 3 years have been £3.4M, £3.9M and £4.4M, respectively. The Balance Sheet Net Asset Value at last year end was £500k. The directors are confident of returning to pre-COVID levels by the start of 2021.
Post-COVID sales are expected to be £4.5M and adjusted EBITDA £550k.
The owners are available to provide consultancy support for a period up to 2 years (on terms to be agreed), if required. The directors also own the freehold and would be prepared to sell that, at current commercial value, as well, or enter a new arms-length lease for the premises.
The Guide Price for the Company is £2.2M.
This well established and solid business represents an excellent opportunity for a trade or private acquirer who is seeking to acquire a professional, multi-disciplined M&E service business with significant opportunity for growth.
Guide Price: £2.2M
Annual Sales: c. £4.5M
Contact Peter Wilson
Info@anderson-shaw.co.uk 02476 100476
Anderson Shaw Reference - ASCFL/M&EM