Shell has agreed to buy two divisions from a Manchester-based business.
M&I Materials has signed an agreement with Shell 海角视频 to dispose of its MIDEL and MIVOLT businesses for an undisclosed sum. The companies operate in the transformer fluids and immersion cooling spaces.
The Trafford Park firm will now continue to invest in its other businesses in its portfolio, with a range of products used by customers such as Boeing, CERN and NASA.
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M&I Materials chairman Colin Salt said: "Ester fluid manufacturing has been a huge part of M&I Materials for over 45 years and a source of pride for everyone involved in developing this technology which customers in many markets worldwide have come to specify and trust.
"We want to see the growth potential for both MIDEL and MIVOLT realised and we believe Shell is uniquely positioned to take them forward and on to their next stage of development."
Giles Salt, CEO of M&I Materials, added: "M&I Materials is a manufacturing success story because our niche product groups have grown over many decades into the individual, thriving businesses that exist today.
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"We have incredibly exciting opportunities ahead of us for our remaining business lines, particularly in the science, aerospace and power sectors."
For the purposes of this acquisition, M&I Materials will carve out its MIDEL and MIVOLT businesses into M&I Materials Development Limited, which Shell will acquire in full. Subject to regulatory approvals, the deal is anticipated to complete in the fourth quarter of 2023.
M&I Materials will continue to operate the Wolfmet, Metrosil, Apiezon and Performance Biolubricants businesses.
M&I Materials can trace its roots back to 1901. Formerly part of GEC Alsthom, the business has been privately owned since a management buyout in 1993 by Colin Salt.
Arrowpoint Advisory was the lead adviser to M&I Materials. The Arrowpoint team included managing director Graham Carberry, director Tom Smith and assistant director Harry O'Connor.
Nigel Barratt and Ben Bradley from HURST corporate finance and Adrian Young from the tax team advised M&I Materials on the deal.