YFM exits specialist rail sector manufacturer | South East Deals News | Insider Media

2022-06-30 09:45:17 By : Mr. A lbert

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A specialist supplier of rubber-to-metal bonded components and rail suspension systems that counts the London Underground, Siemens and Skoda among its customers has been acquired in a deal that provides an exit for YFM Equity Partners.

YFM's managed funds have sold their shareholding in Ferrabyrne Holdings Ltd to Dellner Polymer Solutions, part of Sweden's Dellner Group, which is continuing its expansion in the UK.

Dellner Polymer Solutions provides technologically advanced vibration control, rubber fabrication and bonding solutions for the global market.

The acquisition is expected to boost the group's global product offering and increase opportunities in wider markets including Asia.

Littlehampton-based Ferrabyrne will continue to operate from its 32,300 sq ft manufacturing facility, from where it provides a range of suspension systems and rubber to metal components including bushes, bearings, and couplings to the global market.

The company's customers include major European rail OEMs for new build such as Alstom, Hitachi, Siemens, Skoda, UK mainline networks, as well as service customers like MTRC in Hong Kong and the London Underground.

Since YFM's investment in 2016, Ferrabyrne has strengthened its management team with several key hires and invested in systems, processes and new technologies. It has expanded into China and India, grown its customer base globally and more than doubled turnover.

The deal marks the fourth successful exit from YFM's Buyout Fund 1 that it raised in 2016.

Ken Horton, Ferrabyrne chief executive, said: "YFM has been a consistent and constructive partner over the last few years, supporting the team in its strategic thinking, the steps needed to weather the pandemic and the exit process. Its funding has allowed our team to take the business to the next level – and this transaction is an exciting and important step for the future development of Ferrabyrne.

"Our team is looking forward to realising the enhanced opportunities and synergy within the Dellner Group."

James Savage, partner at YFM, added: "We backed Ken and his team to grow the business and capitalise on positive trends in the rail industry. The team has delivered on its plan, building strong relationships with all the major European manufacturers, and established itself as a crucial part of the supply chain.

"The last couple of years have highlighted the company's robustness and maturity, as well as its growth prospects, with its order book currently at record levels. We are pleased to realise this return for our investors and believe that Dellner is a great home for the business."

YFM and the management team were advised by Chris Bill and Aiden Hawkes of Transcend Corporate (corporate finance); and by Adam Percival, Ian McDonald, and Amy Ellis of Gateley PLC (legal).

Dellner Polymer Solutions / Ferrabyrne / Gateley / YFM Equity Partners /

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