BHP springs into action
The deal is of great strategic importance to Stride Supplies as it cements its position as the leading provider of its wide range of stainless and high carbon spring wire to the UK automotive, aerospace, medical and associated industries. The board of Stride Supplies identified that the acquisition would provide it with access to new customers and suppliers, as well as additional warehouse space to facilitate further organic growth from the newly combined entity.
The transaction, alongside further organic growth initiatives, will see the revenue of Stride grow towards the £10m mark.
Graham Howes, Chairman of Stride Supplies commented: “This acquisition is one of a number of initiatives the board has been working on with BHP as part of Stride Supplies’ strategic business plan. We are delighted to have completed the purchase of Direct Wire and we look forward to continuing its dedication to its customers and the commitment to service and quality that is a hallmark of both companies.
“We are very grateful to BHP Corporate Finance for their unwavering support and dedication to ensuring the transaction reached a successful conclusion.”
Andy Haigh led the acquisition advice and the fundraising on behalf of BHP Corporate Finance, working alongside David Mitchell, Head of Advisory at BHP. Andy Haigh commented: “It was a pleasure to advise Graham and the board of Stride through this process. We understand how important these types of transactions are to all stakeholders and the need to cut through issues to achieve a good end result is crucial. I am certain the board of Stride will make the combined entity a real success story.”
It has been quite a start to the year; this transaction is one of five already completed by BHP Corporate Finance in the first quarter of 2014. We also have a number of high quality transactions in the pipeline so watch this space as we look forward to bringing you more news very soon.