Dynamic Industrial, the US-based aerospace and defence manufacturing group, has made its first UK acquisition with support from ThinCats funding.
ThinCats, the SME lender, has provided £10m to Dynamic to enable the acquisition of Hydram Engineering Ltd, as well as an injection of additional finance to help the business grow.
Headquartered in Ferryhill, County Durham, Hydram is a sheet metalworking company which offers a full range of subcontract engineering services across the UK and Europe.
Hydram will become Dynamic’s latest addition to its existing portfolio of U.S. companies that specialise in supplying precision metal components for the aerospace, defence, automotive and rail sectors.
As the Group’s first acquisition outside of the US, this investment brings promise to the future of the UK’s manufacturing industry and its attractiveness to foreign businesses.
ThinCats worked closely with Dynamic to become familiar with the business and their financial models in order to design a flexible finance plan. As a direct line from borrower to institutional investor, ThinCats was able to raise the funding quickly and facilitate the acquisition.
Don Nystrom, president of the Dynamic Group said: “The acquisition of Hydram provides a strong platform for expansion into the UK and wider European market. ThinCats worked hard to understand both businesses and showed total commitment to conclude this transaction at pace.”
Dave Sherrington, London and South East business originator at ThinCats, said: “Our priority is helping businesses grow. Today’s announcement is a great example of allowing a company to realise its potential. There are striking synergies between Dynamic and Hydram and we are excited about the new opportunities that this acquisition will bring.”
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