Beta Engineering Services’ acquisition of Sheffield manufacturer to create new jobs

Sheffield manufacturer Daver Steels’ Bar and Cable Systems division has been acquired by South Yorkshire-based Beta Engineering Services Ltd.

The acquisition will create new jobs and allow Beta to expand and trade internationally.

The purchase follows a funding boost of more than £300k from investors including UK Steel Enterprise, Lloyds Bank and Finance Yorkshire.

Established in 1984, Beta, which specialises in precision machined components, recently relocated to a new 15,000 sq ft facility in Goldthorpe that now houses its 27-strong team of operators and staff.

Staff of the former Daver Steels’ division based on Petre Street in Sheffield, will now also make the move, along with the company’s equipment comprising of a bar sawing line, various truing, threading and polishing machines.

UK Steel Enterprise, a subsidiary of Tata Steel, invested £50k as part of the deal.

Keith Williams, UK Steel Enterprise regional manager, said: “This deal strengthens an already successful company, bringing new jobs into the Dearne Valley and creating further growth opportunities for the combined business. Their success to date demonstrates that there is strong demand for high quality products manufactured here in South Yorkshire.

“We continue to have funds to invest and are particularly keen on supporting growing companies like Beta Engineering which have the potential to create jobs.”

Hugh Davies, managing director at Beta Engineering Services, added: “This acquisition will further strengthen our reputation as highly skilled engineers within our sector, and we are delighted to be in a position to expand our team and service a broader customer base thanks to the additional capabilities we now offer in-house.

“Following what has been, a difficult time for manufacturing, the support that Beta has received from UK Steel Enterprise, Finance Yorkshire and Lloyds Bank in facilitating this acquisition truly demonstrates a commitment from the financial sector to support the industry.

“The investment has allowed us to expand our business and create new jobs and we hope to continue the expansion in the future”.

Finance Yorkshire provides businesses across Yorkshire and Humber with funding from £15k to £2m to help them grow and develop.

David Ward, Portfolio Manager at Finance Yorkshire, commented “Beta Engineering Services is a well-established and successful business which Finance Yorkshire is pleased to support. Our investment which will be used as working capital will help enable Beta to achieve its ambition to grow further and create valuable jobs in the region.”

Chris Perkins, Relationship Director for SME manufacturing firms in South Yorkshire and East Midlands, Lloyds Bank Commercial Banking, also said: “Beta Engineering is a fantastic example of a British manufacturing business whose quality components are in demand around the world.

“Asset based lending facilities like this are ideal for companies like Beta Engineering that are looking to expand, as it allows them to invest in growth without affecting day-to-day cash flow. We worked closely with the business to ensure it has the tailored support it needs to take it to the next level.

“We are dedicated to helping companies capitalise on expansion opportunities, and have increased our lending to small and medium sized businesses by 25% since 2011, while the market has contracted by 13%.”