Pump manufacturer deal secures jobs

A subsidiary of Avingtrans has acquired the business and certain assets of a pump manufacturer, together with the group's overseas subsidiaries in the US and Asia, out of administration in a deal that secures jobs.

Howard Smith and Chris Pole from Interpath Advisory were appointed as joint administrators of Slack & Parr Limited and Slack & Parr (Investments) Limited on 3 July 2023.

Incorporated in 1917 and based in Kegworth, near Derby, Slack & Parr is a third-generation family-owned specialist pump manufacturer which supplies gear metering pumps, rotary hydraulic flow dividers and industrial dosing pumps throughout the UK and worldwide.

The companies had seen cashflow impacted by rising raw material, energy and labour costs. After exploring their options in view of increasing cashflow challenges, the directors took the decision to seek the appointment of administrators.

The acquisition by Hayward Tyler Fluid Handling is hoped to strengthen Slack and Parr's market presence and improve operational efficiency.

Austen Adams, divisional managing director at Avingtrans, said: "We are pleased to have completed this acquisition, which brings another globally-respected, British heritage brand under the direction of the Avingtrans team.

"The sorts of challenges this business has faced are familiar to us and we are experienced resolving them, having successfully turned around other businesses under similar circumstances.

"Slack and Parr's global footprint, combined with its well-invested operational capability, powerful brand, highly-skilled workforce and large installed base provide a great base for reestablishing the business on a firmer footing going forward."

Slack & Parr operates from a 64,000 sq ft manufacturing facility in Kegworth. The company also has facilities in Charlotte, North Carolina and Shanghai, China. The acquisition has secured the employment of 100 employees in Derbyshire.

Edward Barrington, managing director of Slack and Parr, added: "We are delighted to be part of Avingtrans and eagerly anticipate the opportunities this partnership will unlock for the business.

"Together, we are confident we can build on our heritage of precision engineering and continue to provide our clients with the quality and reliability they have come to expect from us."

Keith Spedding of law firm Shakespeare Martineau and Miles Standard of Park Hill Corporate Finance acted for Avingtrans in the deal.

Howard Smith, managing director at Interpath Advisory and joint administrator, said: "Following our appointment, we were able to trade the businesses for over four weeks, maintaining continuity of supply and minimising disruption to customers.

"Following a marketing process, this then enabled us to conclude the sale to Hayward Tyler Fluid Handling, which not only ensures production will continue at Kegworth, but importantly, safeguards over 125 jobs across the wider group.”

The joint administrators were advised by Squire Patton Boggs (UK) LLP, Hilco Appraisal Limited and Sanderson Weatherall LLP.