Brandauer engineers bright future with MBO

A Birmingham-based precision engineering firm has been bought by its management team.

Brandauer, a historic manufacturer with roots dating back to the 1780s, has been acquired by chief executive Rowan Crozier, manufacturing director Stuart Berry and non-executive director David Chapman. 

Rowan says the management buyout, financed by HSBC, will ensure the company remains UK-owned and positioned for growth in precision tooling, stamping, research and development and its newly launched consultancy service.

He adds that the firm, which currently employs 64 people, plans to create over 20 new roles as it targets £12 million in annual sales by 2029, following a £5 million investment in a “world class” precision engineering facility, with a further £1.4 million earmarked for a new automation project.

Rowan, who has been at the firm for more than 16 years, said: “We believe we have created something special here, exporting precision parts and tools to more than 26 different countries from our base in Birmingham.”

“When the family shareholders made the difficult decision to sell, there was lots of interest from overseas, some of our customers and private equity, but deep down we knew that could mean changes to the fabric of the business. 

“With this in mind, the management team decided we’d take matters into our own hands by leading an MBO.

“Importantly, all directors are in this for the long-term. 

“We have carefully crafted a ten-year business plan that leverages our history and proven track record with a desire to move into new markets, including power storage, aerospace and defence. 

“There’ll also be a continued push to invest in automation to further increase our productivity.”

Rowan added: “HSBC has been our banking partner for more than 12 years and it has shown fantastic faith in us, delivering a finance package that not only allows us to complete the MBO but gives us the working capital to expand at pace.

“The initial focus will be on organically growing sales and diversification, but there is definitely a desire to explore the future acquisition of complementary businesses that fit our precision journey.”

Paul Rummer, who has been a shareholder and on the board for more than 17 years, added: “It was a momentous decision to sell, but we’re delighted that it has been purchased by Rowan, Stuart and David, who have done such a fantastic job growing Brandauer and making it a truly world class manufacturer.

“Staying in UK ownership and in Birmingham was critical to our decision.

“The MBO team are hugely passionate about Midlands’ manufacturing and I’m looking forward to seeing how they move the business forward, whilst retaining a keen commitment to providing high skilled employment to local people.”

Brandauer’s services include rapid prototyping, transforming designs from 2D drawings into fully formed 3D components in as little as 48 hours.

With a legacy spanning pen nibs, electronics, automotive components and healthcare parts, Brandauer is now focused on sustainable, smart manufacturing solutions that will shape the future of mobility, innovation and connectivity.

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