Billington has agreed to buy the equipment and assets of Sherling Steel (UK) Ltd for 拢2.38m. It has also agreed to pay 拢2.5m to Sabler Enterprises for the 25-acre premises in Shafton, Barnsley.
The site contains two industrial buildings with a combined useable area of 181,000 sq ft.聽
Billington said that the acquisition would give it access to new machinery and increased capacity. It directors believe that within three years, after modifications, the new facilities will significantly increase the output of Billington鈥檚 structural steelwork divisions.
Billington chief executive Mark Smith said: 鈥淚t is an exciting period of change for Billington and one that the directors believe will further strengthen the company鈥檚 market position through increased capabilities, capacity and product offerings.鈥�
At 30th June 2015 Billington had a cash position of 拢6.36m. The acquisition will be partially funded through the company鈥檚 own cash resources and partially from a commercial mortgage from HSBC.
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