Founded in 1966, Automotive Insulations provides acoustic insulation materials for vehicles, and has a dedicated in-house technical facility which oversees product development and design, and bespoke solutions.

The opportunity was introduced to Business Finance by Midlands based Fusion Corporate Finance, which led and advised on all aspects of the deal.  The financing package includes a working capital facility.  Leading the MBO is managing director, Jim Griffin, a long-standing company employee, who has a successful track record in the business and strong relationships within the automotive industry.  He is supported by Karen Holdback, finance director and Kevin Westwood operations director.

Jim Griffin commented: “We now have a great opportunity to take the business forward – Automotive Insulations has lots of potential, backed by a great workforce, quality assets and an exceptional customer base.  The flexibility displayed by both the vendors and Business Finance enabled us to structure the deal successfully. Their understanding of our finance requirements showed a versatile and creative approach to meeting our needs. We are now in a very strong position to take advantage of the significant number of opportunities in the market."

The vendors, Peter and Rob Harris are retaining a substantial personal investment in the business, alongside that of the new management team, although they will be less involved in the day to day operations of the company. 

Barry Lee, GE Commercial Finance, Business Finance, Regional Director said: “This company is very well-regarded in the automotive industry. The business itself is solid and the new management team has extensive expertise in this industry and is committed to the future growth of the business.   The Business Finance team was able to provide a simple, yet effective, funding package and we now look forward to supporting the ongoing development and growth of the business.”

Stuart Hands, partner at Fusion Corporate Finance commented:  “With significant personal investments from the new and existing shareholders and the funding support of Business Finance, the business is stronger than ever, which is excellent news for its customers, suppliers and employees”.