Wake Smith has advised the shareholders of a leading Sheffield manufacturer Pentag Gears and Oilfield Equipment Limited on the company's acquisition by a Chesterfield engineering firm.
BG Engineering Limited has acquired the share capital of Pentag which has been operating for over 100 years and designs and manufactures high quality gearing for bespoke projects.
Pentag was founded towards the end of the 19th Century in Sheffield under the Wilmot North name as a pattern, wheel and gear manufacturing company. Its oil division is the only manufacturer of beam pumping units in the UK.
As part of the transaction Pentag directors Martin Wragg and Andrew Larkin will remain with the combined business as it locates from John Street to the 44,000 sqft BG facility at Holmewood, Chesterfield.
The Wake Smith legal team was led by corporate director John Baddeley with associate solicitor Rebecca Robinson assisting.
John Baddeley, who has acted for Pentag over the years, added: 'We are really pleased to have advised the shareholders of Pentag on this transaction and assisted in securing the best possible outcome for all parties involved. The shareholders are delighted with the strong message from BG Engineering that growth, support and investment, as part of a bigger company, will be forthcoming.
“We wish Pentag and BG the best of luck in their future plans.”
Andy Ryder and Ellie Wilcockson of Shorts Accountants also advised Pentag on the disposal. BG was advised by Steve Bell and Lisa Ritson of Castle Square Corporate Finance.
The transaction follows on the back of Cooper Brown Enterprise Limited’s acquisition of a strategic stake in BG in April 2017 which was then followed by the acquisition of NiTEC Engineering Limited in August.
Marie Cooper, Director of CBE, said “The opportunity to acquire the Pentag business will allow BG to grow and the acquisition of the complimentary skill base at Pentag will allow us to continue to invest in infrastructure and staff to deliver further growth in existing and new markets.”
As a leading leading subcontractor for precision machined components for three decades, BG offers a range of services including CNC Turning, CNC Milling, pressure testing, assembly and surface treatment to customers across the UK and Europe including some of the largest OEM’s in the energy sector.
BG Engineering recently announced that it had acquired more than 27,000 sq ft of manufacturing space adjacent to its existing facilities in Holmewood, increasing the size of its factory floor to over 44,000 sq ft.
The company, which has more than 30 staff and 18 CNC machines, has also invested in a new apprentice machine cell and extended its services following the acquisition of an in-house pressure test and assembly facility.
BG Engineering prides itself on its approach to quality and inspection and is ISO 9001 accredited and is currently working towards securing AS9100 accreditation to become an approved aerospace supplier.
