London: The Board of Nasmyth Group, the provider of specialist precision engineering services to the aerospace, defence and related industries February 22 announced that it has completed a comprehensive recapitalisation that will give the business the stable foundation it needs to drive ingenuity and continue to serve the needs of its customers around the world.
Under the terms of the recapitalisation Rcapital, the provider of investment, commercial expertise and hands-on support to businesses, will take a significant equity investment in Nasmyth Group, alongside the existing management team, and will also deliver long term debt facilities with its partner, Secure Trust Bank Commercial Finance. Nasmyth Group will continue to be led by its existing management team, headed by Peter Smith and Simon Beech who will work alongside Rcapital to implement a strategy to grow the Group further.
This recapitalisation will give Nasmyth Group a stable financial platform to seek opportunities to grow the business and capitalise on what is expected to be a major rebound in demand over the coming months.
Commenting on this announcement, Peter Smith, Chairman and CEO of Nasmyth Group said:“This is a milestone moment for Nasmyth Group. We have weathered the unprecedented effects of Covid on the industry, and have emerged with a strong order book as commercial aviation begins to recover to normal levels. We have taken the opportunity to recapitalise our business and have the luxury of a strong balance sheet, long-term committed debt facilities and the potential to make acquisitions that expand our footprint further. This gives us significant competitive advantage.”
Chris Campbell, a Partner of Rcapital added: “From the outset, it was clear to us that Nasmyth Group is a fantastic business with huge potential, strong customer and supplier relationships and a talented team of dedicated professionals. We are delighted to partner with the senior Nasmyth team and look forward to working together to realise the Group’s potential.”
Tony Young, Regional Sales Director at Secure Trust Bank Commercial Finance, said: “We have worked closely with the Nasmyth management team and Rcapital to understand the business and the growth opportunities available through an increasing and strong order book. Working with Rcapital, we have provided a flexible facility that will enable the business to make the most of these opportunities and meet its ongoing growth aspirations.”
