Guildford: Clydesdale Bank funds global growth for Acal

A leading European advanced technology company, with its global headquarters at Surrey Research Park in Guildford, has embarked on the next phase of its growth thanks to a deal funded by Clydesdale Bank. 

Acal plc, which designs, manufactures and distributes multi-application electronics to a wide range of high-tech industries, has entered into a conditional agreement to acquire the Myrra Group through the purchase of its holding company, Aramys SAS.

Acal, established more than 25 years ago, has been under a new executive management team since 2009. Prior to the Myrra acquisition, Acal had acquired four other businesses over the past four years. The company now employs around 750 people, principally in the UK and Europe, with a turnover of £258 million for the year ending March 31, 2012. The company currently operates in 11 countries, including the UK, Germany, France, Netherlands, Belgium, Italy, Spain, the Nordic region, South Africa and South Korea.

Acal has secured an £8m debt facility with Clydesdale Bank and unlocked a further £6m in equity funding from other providers to finance its latest acquisition.

The Myrra Group has a successful track record in providing custom-built transformers and inductors for industrial electronic use, supplying customers throughout Europe, and increasingly in North America, Asia and Africa.

Nick Jefferies, Acal’s group chief executive, said: “This is another important step in our growth strategy in the specialist electronics market. As part of the enlarged group, Myrra will have access to more than 20,000 Acal customers, and we will benefit from the Myrra Group’s well-developed customisation, design and manufacturing capabilities.”

As part of the deal, Acal, which is fully-listed on the London Stock Exchange, will now have access to Myrra’s design and development capabilities in France and China, as well as manufacturing facilities in China and Poland.

Commenting on Acal’s first deal with Clydesdale Bank, Simon Gibbins, Acal’s group finance director, added: “It was clear from the start of our discussions that Clydesdale Bank is open for business, and they proved responsive, efficient and easy to deal with.”

David Hayers, corporate and structured finance director at Clydesdale Bank, said: “We have watched how the new management team has successfully driven this internationally-significant business. When Acal talked to us about supporting the acquisition, they presented a strong business case that gave us the all-important confidence.

“In return we delivered a funding package within a very tight timeframe, thereby providing management with the certainty they required. We are delighted to support the next stage of Acal’s ambitious plans and look forward to continuing to develop the relationship with the group.”