Spencer Coatings Limited, the East Midlands-based industrial coatings manufacturer, has announced the acquisition of West Bromwich-based Protega Paints in a multi-million pound deal. The company enjoys a rich heritage in the industrial coatings business and has built a strong position in Agricultural, Construction and Earthmoving (ACE), general industrial and protective coatings markets, key areas for Spencer Coatings. Protega, which employs 56, also has a strong business with a network of distributors and own the well-known Corroless brand.
Spencer Coatings, which is a member of energy sector business development organisation, NOF Energy, will continue to operate the West Bromwich factory alongside its Huthwaite facility providing much needed production capacity and flexibility for future growth.
The company will continue to invest in key markets and will focus on the development of its export business through the Corroless brand. Following the acquisition, Spencer Coatings has a combined workforce of more than 160 and plans to increase that number as part of its growth strategy.
Sean Cullen and Nigel Smith will both retain a shareholding in the acquired business and remain as Executive Directors reporting to Phil Buck, Group Managing Director. Phil Buck, Graham Stronarch and James Stokes will join the board of Protega Paints. Mike Smith, previously CEO and majority shareholder, will leave the company.
Buck said, “The acquisition of Protega Paints is another step in our strategy to build a strong independent industrial coatings company providing class-leading technology and unrivalled services to our customers, both in the UK and internationally.
“With a turnover of £25 million we are, by far, the largest independent, British-owned industrial coatings company in the UK with a clear strategy for future growth.”
Caroline Lofthouse, Business Development Manager at NOF Energy, said: “Spencer Coatings is a great example of forward-thinking supply chain companies that operate across multiple industrial sectors. This acquisition demonstrates how NOF Energy members are securing strong positions in their target markets through the development of quality products and services and positive growth strategies.”
In addition to its presence in the UK, Spencer Coatings has joint ventures in China, Nigeria and a wholly-owned company in Singapore.
