Member Article

Flowtech swoops to acquire hydraulics business

Lancashire fluid power products distributor Flowtech Fluidpower has acquired Nelson Hydraulics Ltd in a £5.8 million deal.

The company, which has its headquarters in Skelmersdale, has acquired the hydraulic products distributor from parent company Nelson Fluid Power Ltd.

The firm paid £4.1million for the trading operation and £1.7million for the net cash position.

Nelson Fluid Power, based in Northern Ireland and Dublin, currently employs 40 staff.

The deal follows the £1.2million buyout of North Wales-based company Albroco, finalised in May.

Chief Executive Sean Fennon said: “The acquisition of NFP and Albroco continues the progressive development of Flowtech, and along with Primary Fluid Power will both sit within a newly formed division providing clear focus on the power and motion control market.

“In addition the acquisitions widen the geographical areas and customer sectors we serve, and extends significantly the group’s hydraulic offer and procurement opportunities”.

Flowtech said that Nelson will operate as sister company within its group of companies and should deliver synergies through to 2016.

The company also issued a brief comment, saying it is trading in line with market expectations for the year.

Its specialises in three key areas: Pneumatics, providing products that enable the use of gases to provide mechanical motion; hydraulics, providing products that enable the use of fluids to provide mechanical motion; and the industrial hose sector, providing products and accessories that act as conduits for gases and liquids.

The group’s headquarters and main distribution centre is in Skelmersdale, with further distribution centres in the Netherlands and China and an assembly operation in Merseyside. In total the business employs 229 staff.

This was posted in Bdaily's Members' News section by Simon Malia .