INVESTMENT firm Nimbus has acquired the Centrifugal Castings Division of Doncaster’s Group.

The division comprises of Teesside-based Paralloy and South Yorkshire-based FVC, both providing specialist engineered products that service domestic and international markets in the petrochemicals, and aerospace industries respectively.

Nimbus has backed the senior management team, led by chief executive Robert McGowan, to acquire the business and will use its pan-European footprint to support Paralloy and FVC’s growth and export plans.

Investment director at Nimbus, David Keenan, who led the deal, said: “Paralloy represents a great example of UK manufacturing despite these uncertain economic times. The combination of a strong management team, market leading products and stated growth ambition provides the perfect setting for Nimbus to invest.”

Paralloy chief executive, Robert McGowan said: “This is good news for our business. We are delighted to be working with Nimbus.

"We believe their background and expertise complements our strong management team and we have a partner that understands us, our business and is excited about our future.

“We continue to focus our efforts on building on the great British brands of Paralloy and Firth Vickers Centrispinning (FVC) with renewed vigour, investment and a commitment to deliver best in class products and services to our customers worldwide.

“This transaction will enable us to uniquely position Paralloy and FVC for more growth, expanding our portfolio, capabilities and market reach.”

The deal comes several months after Nimbus acquired the geo-textiles division from Low and Bonar plc.

Nimbus UK chairman, Chris Clegg added: “I’m delighted that our differentiated UK proposition is attracting large corporates to choose Nimbus when considering complex carve outs of their non-core divisions.

“We have been able to stand by our commitment and believe 2020 will represent an even stronger year for investment in traditional UK sectors such as manufacturing and engineering.”

Sentio Partners acted as lead financial advisor. Addleshaw Goddard, Eversheds Sutherland, Squire Patton Boggs, Gateley Plc, Freeths and Ward Hadaway provided legal advice to various parties.

Arbuthnot Commercial Asset Based Lending and Santander UK Plc both provided funding and banking support. BDO provided tax structuring and diligence advice.