Gainsborough-based business Hexadex Group has acquired Hooton Engineering, a steel fabrication business, for an undisclosed sum.
The purchase forms part of Hexadex’s expansion plans to diversify into new markets such as the food industry.
Hooton, which has a turnover of £1.9 million and employs 38 people, had been looking for a new buyer to provide the company with financial stability and the additional resources.
The Hexadex Group, which has a turnover of £80 million and employs 800 people, can trace its origins back to 1978 when Eminox Ltd. was founded.
Today Eminox has grown to become one of the largest companies in Gainsborough, with a strong international reputation.
The Group also owns Ceramex based in Slough, and Teconnex based in Keighley. All three business are spread geographically and operate outside the UK in Europe, North America and the Far East.
Will Milles, Executive Chairman of Hexadex, said: “The acquisition of Hooton Engineering, forms part of the group’s strategy to develop new markets outside Hexadex’s automotive focus.”
“There is a complementary fit of skills and we believe the extra size and strength of the group will allow Hooton to capitalise on, and exploit, the large number of opportunities that are emerging in its traditional markets.
“We are absolutely committed to the Gainsborough area and believe this move will benefit both sets of our employees and the local economy.”
Richard Marshall, MD of Hooton, said: “We are delighted to join forces with such a respected local company and are confident that our mutual strengths will lead to even greater prosperity for the shareholders, the employees and stakeholders in our local community.”