DWF has advised the automotive division of Arlington Industries Group on a £45m facility for growth, which will complement and further strengthen the business's global infrastructure across the automotive and aerospace sectors, providing genuine supply chain consolidation to its customer base.
With the new facility in place, the company will acquire 100% of the share capital of Magal Engineering, which has global facilities located in France, India, Turkey, Germany and China. Magal Engineering delivers complex design solutions, engineering capability and manufacturing across a broad customer base, and is a strategic supplier to major manufacturers including Ford, Jaguar Land Rover, BMW, Daimler and Renault-Nissan. This large-scale acquisition will be a key enabler of growth for Coventry-based Arlington Industries Group, allowing it to further expand its range of capabilities to now include design, engineering, component manufacture assembly and complete aftermarket support. It will also enable the company's expansion plans, which initially include creating a new purpose-built facility in Slovakia and targeting further opportunities across the USA. Following the acquisition, the company will have global revenues of more than USD$230m and over 1,000 employees.
The DWF team advising on the deal was led by corporate partner Alasdair Outhwaite and corporate solicitor Katy Philips, with support from Partner Jonathan Edwards and solicitor Charlotte Walden in the firm's banking team and Sam Dooley in the tax team.
Alasdair Outhwaite said: "This is a significant step for Arlington, and we're pleased to have been able to support them on what will undoubtedly be a key development in the progression of their ambitious expansion and growth plans."
Mark Franckel, Arlington Industries Group CEO, said: "Naturally we are delighted. An acquisition the scale and quality of Magal Engineering shows a significant statement of intent from Arlington and we are also extremely pleased to announce that we have retained Gamil Magal as the CEO of Magal Engineering.”