A Japanese global manufacturer has completed its £100m acquisition of Welshpool-based Invertek Drives.
Invertek Drives, which manufactures variable frequency drives that are used to control electric motors in a variety of industrial, commercial and energy-saving applications, has been acquired by Sumitomo Heavy Industries.
Employing 245 people, Invertek Drives exports over 90% of its products to more than 80 countries and has seen significant year-on-year growth since it was established in 1998, reporting a £36m turnover last year.
The deal was completed with the support of Shropshire-based law firm Aaron & Partners, which acted on behalf of the shareholders at Invertek.
Stuart Scott-Goldstone, head of corporate and commercial at Aaron & Partners, said: “We’re delighted to see this acquisition finalised, having worked very closely with the shareholders at Invertek throughout the process from start to finish.
“This is one of the largest deals we’ve worked on at Aaron & Partners, but it’s also a significant deal for the region – we believe it’s one of the largest international deals to have taken place in the mid Wales area in recent times.
“The deal also reflects the dedication, vision and ambition of the management team at Invertek. It’s a company that is already a recognised and well-established global leader in its field but now, under the ownership of SHI, the firm has a fantastic opportunity to build on its success and further enhance its reputation.”
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Aaron & Partners worked alongside accountants from Whittingham Riddell on behalf of Invertek. Legal advice for SHI was provided by Jones Day, PwC supported the acquisition with financial due diligence services, and GCA Altium advised SHI on the acquisition
Charles Haspel, operations director at Invertek Drives, said: “We’re very pleased to see this deal concluded and we’re excited about the future of the company in mid Wales with the power of the SHI resources now behind us.
“We’ve also retained our management team as part of this deal, so now that we’ve cleared the final hurdle with international competition clearance, we’re looking forward to pushing the Invertek brand into new markets and territories.”