HSBC SUPPORTS STAFFORDSHIRE ENGINEERING FIRM’S MBO…
The management buyout (MBO) of the KMF Group sees Michael, Gareth and Daniel Higgins, who have worked at the business for a combined 85 years, take full ownership. The Higgins family worked with HSBC UK to secure the MBO after the Group’s former co-owner, Dacoll Enterprises Ltd, sought to sell its 50 per cent stake.
Following the news of the buyout, the Group has confirmed ambitious growth targets as part of its 50-year anniversary in 2021. The firm will focus on continued technological investment and further market expansion with their growing UK and Slovakian sheet metal manufacturing plants and UK-based precision engineering facility.
The Group remains committed to being a high quality, agile and forward-thinking engineering firm well positioned for the future.
Gareth Higgins, Managing Director and Co-owner of KMF Group, said: “HSBC’s financial backing and guidance gave us the means and confidence to undertake this buyout. We see a variety of growth opportunities in the UK and Europe, and we’re excited to continue to drive the business forward.”
Paul Franklin, HSBC’s Relationship Director for Staffordshire, said: “HSBC UK is committed to supporting the growth of local businesses in Staffordshire, so we’re pleased to have backed the Higgins family in their management buyout. With fresh ideas and an ambitious growth strategy, KMF Group is well-positioned to capitalise on the UK’s buoyant engineering sector.”
Established in 1971 by Mick Higgins, KMF Group employs over 500 people in factories located in Newcastle-under-Lyme and Trencin, Slovakia. The business’s 240,000 sq ft of modern sheet metal fabrication and metal engineering production facilities operate 24 hours, seven-days-a-week, serving a wide range of customers in a variety of sectors such as aerospace, food processing, electrical distribution, vending and telecoms.
The deal was part of HSBC UK’s £12 billion lending fund to support SMEs in the UK, with £500 million committed to businesses in the West Midlands.
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