Sell My Engineering Business

Surge Protection Devices Ltd

Swedish-based group Teqnion has returned to make a second 2023 acquisition through KBS Corporate in the form of Surge Protection Devices (“Surge”).

Teqnion, listed on the Nasdaq First North Growth Market, operates in niche technology markets and has been active in the M&A space across Europe for several years.

The industrial group, based just outside central Stockholm, operates through multiple independent subsidiaries, acquiring scalable companies which can succeed in narrow technology niches.

Its previous acquisition via KBS, in May 2023, was Stanwell Group, which offers innovative solutions to the beverage industry, including fluid dispense pumps, valves and complete systems.

Stanwell is based in Holmfirth, less than 20 miles from Oldham, the home of family-run Surge Protection Devices, which was founded in 2006 and includes Manchester Airport, the Ministry of Defence and Vodafone among the customers for its electrical safety solutions and products.

Explaining the appeal of Surge Protection Devices, Charles Needham, KBS Corporate Deal Executive who oversaw the transaction, said: “Since I started looking after the sale the business did not stop growing, and given the margins remained very consistent, almost identical, this enticed buyers forward.

“The regulations around surge protection are getting increasingly tighter and with our client being able to stay a step ahead of modern technology within the industry, their products will be a necessity for years to come.”

Hence, therefore, the company’s attractiveness to Teqnion, which the Swedish company described in their public announcement as “the consistently high standard of the service and solutions provided which have earned the business a rock-solid reputation and deep, long-standing relationships”.

Johan Steene, CEO of Teqnion, added: “Surge is a fantastic company, a typical Teqnion business, run by fantastic people. The demand for their products in the UK is surging and the company is well-positioned to ride the wave.

“We couldn’t be happier to welcome the Johnson family and their team to our family.”

Ian Johnson, CEO of Surge Protection Devices, commented: “We feel Surge and Teqnion is a great match and are happy to have found a forever home with people that share the belief that the key to building a successful company is through the strength of its people and the enduring relationships they build and maintain.”

Charles Needham also felt the two companies are forming an ideal connection. “The buyer had to fit the bill perfectly and I think we achieved this in Teqnion,” he said. “The client was really keen on them as an acquirer.

“Teqnion were excellent to work with and I eagerly look forward to working with them again.”

Nationwide Specialist Projects (NSP) Ltd

Nationwide Specialist Projects (NSP), a market leader in the smoke and ventilation industry, has been acquired by TIS in a deal backed by Key Capital Partners (KCP), the UK’s leading investor in mid-market SMEs.

Kidderminster-based NSP is dedicated to enhancing industry standards through innovation and technical advancements, benefitting from 13 years of experience at the forefront of the sector.

Demonstrating significant year-on-year growth since its inception, NSP now offers an extensive range of next-generation solutions, encompassing smoke ventilation systems and project management services.

The sale of NSP was led by Jay Singh, KBS Corporate Finance Director, with support from Richard Stocks, Senior Research Analyst, and Alex Foster, Senior Corporate Document Writer.

Commenting on the transaction, Richard Stocks said: “Whilst we have done a large number of deals in the fire and security sector, this is the first smoke ventilation contractor KBS has represented on the market.

“NSP generated interest from a broad range of buyers, including private equity houses, competitors and synergistic buyers, such as TIS. This industry is going to be a significant growth area over the coming years due to Grenfell regulations, accounting for retrospective work and new build projects.”

TIS is a national systems integrator, specialising in digital transformation, communications and security systems to satisfy commercial requirements across multiple sectors.

The organisation operates from offices in Birmingham, Leeds, Mansfield, Nottingham and Uxbridge, extending its growing range of services to clients across the UK.

Following the acquisition, NSP will continue operating from its Kidderminster headquarters, strengthening TIS’ presence in the West Midlands.

James Twigg, CEO of TIS, said: “This acquisition is a decisive step forward for TIS, leveraging our recent growth capital to realise our broader vision of bringing processes and innovations that improve the way the world is protected as it lives and works.

“The deal strengthens our core capabilities and provides opportunities to enter other high-growth sectors such as residential developments. Together with NSP, we are bridging an important gap in fire safety and smoke control.”

Lee Hewings, Managing Director of NSP, is delighted with the outcome of the sale: “NSP’s journey to this point has been about forging valuable collaborations and I am excited about the immediate opportunities our partnership with TIS will bring, enabling us to offer our innovative smoke control services, expertise and knowledge to a much larger audience.

“There are many similarities commercially and culturally between the way TIS and NSP operate, and I believe TIS’ flexible, innovative approach to the design, installation and maintenance of integrated life safety and security systems will complement us well, bringing significant additional value to our customers.”

Jay Singh added: “NSP is an excellent business led by an exceptional management team. This transaction allows the shareholders to de-risk, but also retain their roles to help deliver exciting growth plans under the umbrella of the TIS Group. It was a pleasure to advise the shareholders and bring the deal to a successful conclusion.”

Zenith Doors Industrial Ltd

Charles Needham, KBS Corporate Deal Executive, has overseen the sale of Zenith Doors Industrial Ltd to Blount Shutters Ltd.

Based in Devon, Zenith Doors supplies, installs and maintains a wide range of automatic doors, including industrial, commercial and domestic products.

The company has over three decades of experience within its market, benefitting from industry-standard accreditations and qualified engineers.

John Grant, Director of Zenith Doors, instructed KBS Corporate on the sale as part of his retirement plans.

Charles Needham said: “This was a great acquisition for a trade buyer operating in a similar space. John was ready to be rewarded for developing the company and enjoy a relaxed lifestyle”.

Essex-based Blount Shutters was identified as a suitable acquirer, having specialised in roller and security shutter doors since 1984.

The business has established a prestigious portfolio of clients on a national scale and utilises engineers across the country to provide 24-hour maintenance support.

The acquisition of Zenith Doors allows Blount Shutters to diversify its revenue streams and pursue geographical expansion.

John Grant is satisfied with the outcome and believes Zenith Doors is in safe hands.

“I’m pleased that Blount Shutters will be taking the business forwards and I know they already have plans to expand,” said John.

“Charles kept us informed throughout the sale, which was really appreciated. I can now enjoy my long-awaited retirement plans, which will be playing golf and family holidays!”

Charles added: “We exceeded our initial expectations and streamlined the transaction wherever possible — I’m very satisfied with the deal.”