Acquisition of British alloy wheel manufacturer will accelerate expansion
Former Automotive lead at McKinsey & Company - Glenn Mercer - joins Rimstock board
WEST MIDLANDS, UK – JUNE 9, 2016 – Rimstock Plc (“Rimstock”) announced today that it has been acquired by Global investment firms, Safanad and Current Capital, together with British entrepreneur, David Roberts.
As the UK’s only premier manufacturer and supplier of forged and cast aluminium wheels, Rimstock operates one of the most advanced design and manufacturing facilities in Europe.
From OEM customers to motorsport, the defence sector, and its own aftermarket offerings under the Team Dynamics brand - Rimstock manufactures high quality, lightweight and optimised forged and cast alloy wheels, exporting to more than 40 countries. The company and its brand, Team Dynamics, is synonymous with motoring and motorsport - supporting the prestigious British Touring Car Championship and 30 other prominent motorsport championships around the world.
The acquisition includes subsidiaries in France, Germany and the United States.
Safanad, a global principal investment firm, is partnering in this acquisition with Current Capital, a New York based investment and management services firm with significant global automotive expertise, and David Roberts, an automotive executive veteran, who has successfully operated several middle market industrial and automotive businesses. The business will remain headquartered in West Bromwich, UK.
The Executive team will be led by David Roberts as Executive Chairman, and Stephen Lane will continue in his role as Managing Director and Chief Executive Officer, within the new organisation.
In 2015, Rimstock successfully secured over £3 million from the UK Government’s Regional Growth Fund and has already commenced implementing the plans outlined in the application, with further announcements to be made in the near future.
Stephen Lane, Managing Director and Chief Executive Officer, Rimstock, says:
“Entrusting over 30 years of British excellence to the new team here at Rimstock is an immense opportunity to accelerate the company’s aspirations - to be Europe’s leading alloy wheel manufacturer. Central to this acquisition is the financial commitment made by the new owners which will be fundamental in further developing and expanding the business.
We have already secured more space close to our West Bromwich facility, and those expansion plans have already been shared with our key customers, who have been impressed with our aspirations.”
David Roberts, the Executive Chairman, Rimstock, commented:
"I am excited to work with Stephen Lane, to continue to provide the most advanced automotive wheels to our global customers who are the leading luxury brands in the industry,
Steve Neal founded and developed a wonderful company. Rimstock now has strong financial sponsors with a wealth of knowledge in the industry.”
Craig Kahler, Director of Private Equity at Safanad, added:
“We are delighted to team with Current Capital, who has had substantial experience and success in automotive investing and Board service. I am very pleased that Glenn Mercer, an Advisory Board Member at Current Capital and former Partner - Automotive at McKinsey, and Jonathan Foster will join the Board of Rimstock.
Safanad very much looks forward to its partnership with Current Capital and David Roberts, as we help Rimstock leverage its history and capabilities to become an even stronger supplier to global automotive manufacturers.”
Jonathan Foster, Founder and a Managing Director of Current Capital, said:
“We are excited to join Safanad, David Roberts and the entire Rimstock team to help accelerate growth. This is our firm’s second automotive investment; we have also completed a number of management services projects in this sector. Rimstock’s strong brand and commitment to new technologies, along with the increasing importance of wheels to differentiate automobiles, positions the company well for continued success.”