Management at a Sheffield based high tech engineering company have acquired the business from its existing owners in a seven-figure buyout.

Baldwin & Francis, a £10m specialist global switchgear manufacturer has thrived in its chosen niche markets, designing and manufacturing cutting edge, high tech switchgear products. Around 20% of the company’s products are supplied to the UK market with the remainder exported to international markets across the globe.

Established in 1926, the company employs 90 people and operates from its South Yorkshire base. The existing business was formed in 1994 following an MBO from the Rolls Royce plc. The remaining five strong management team, led by Dave Pattinson, have rolled over their existing investment in the Company and have raised funds to buy out the existing institutional investor, Kleinwort Capital, in a deal put together by Leeds corporate finance advisors Steve Roberts and Emma Robinson of McInnesCorporateFinance.

The acquisition finance was provided by Elderstreet, which invested equity funding from the Elderstreet Millennium and Elderstreet Downing VCTs, with Paul Rule of Bank of Scotland, Corporate Banking providing senior debt and working capital facilities. Following the deal, the board owns a majority stake in the company. The management shareholders include Managing Director, Dave Pattinson; Finance Director Ed Walton; Operations Director Peter Easter; Sales Director Mark Ramsden; and Technical Director Jim Lindsay. Law firm Cobbetts provided legal advice to the management team with Irwin Mitchell’s providing legal advice to the vendors.

Dave Pattinson, MD at Baldwin & Francis commented “This is great news for the future of a company that has built itself a reputation for innovation and technical excellence in a crucial aspect of its chosen markets. As a management team, we will be working to grow the business from these foundations, and intend to continue the evolution of the business in both the mining sector and new industrial markets."

Emma Robinson of McInnesCorporateFinance added “This is a great step forward for a business that has thrived in an industry that has undergone so much change over recent years. Dave Pattinson has led the business for the last five years, and his increased stake in the future of the company underlines the intention to move the firm forward, looking for new opportunities whilst sustaining the company’s investment in innovation that has secured its reputation and market position.”

The company’s management team and the funders see a bright future in building on the firm’s strong positioning as a leading specialist engineering company.

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