Renold sells machine tool division.
The purchaser, Venture Private Equity (London, U.K.), has contracted to a 6.1-million [pounds sterling] (about $12-million) deal, with 4.25-million [pounds sterling] down.
The division had revenues of around 20-million [pounds sterling] in the last fiscal year and operating losses of 0.1-million [pounds sterling].
Holroyd dates back to the 1860s around the knitting mills of Manchester and has been making thread-milling machines at its present site for 110 years, adapting them for screw-type helical rotors in the 1960s. It became part of Renold P.L.C. in 1964.
In 1998 Renold acquired grinder builder Jones & Shipman Ltd. and superabrasive-machine builder Edgetek Machine Corp. (Meriden, Conn.). Three years later it combined those operations with Holroyd to form a cohesive machine-tool division.
In the last Renold annual report, chief executive Robert Davies noted, "The machine-tool business has little overlap with the core business but is cyclical and, at times, has a high demand for cash." He said that now Renold will be more focused.
Holroyd Machine Tools, Milnrow, Rochdale, Lancashire, U.K. 44-1706-526590.
Jones & Shipman Int'l., Leicester, U.K. 44-116-2896222.
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|Publication:||Metalworking Insiders' Report|
|Date:||Dec 8, 2006|
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