Adey Steel, a Loughborough-based engineering company, has secured a £15m contract with Network Rail.
The deal involves the supply of fabricated overhead line electrification structures for the Great Western Electrification programme (GWEp).
The programme will see the modernisation of a 150-mile stretch of the track in an effort to make trains quieter, more efficient and greener as they run between London and Cardiff.
Led by former England and Leicester Tigers rugby player, Garry Adey, and currently employing 130 people, the family-run business has already begun recruiting new staff on the back of the contract and is expecting to recruit up to 20 production staff in the coming six months.
Adey Steel’s HR, safety and quality director, Robert Hall noted that the opportunity to work with Network Rail on such a large infrastructure project was hugely exciting and would provide the grounding for growth after a challenging five years within the construction industry.
“We’ve managed to maintain a stable business in recent years, but our growth plans have been reviewed as a result of the Network Rail contract and controlled expansion is now very much on the agenda.
“Being awarded the contract has allowed us to set longer term plans as it provides a baseline of work for the next four years and firmly establishes us in the rail sector, which is an area of the construction industry with promising levels of sustained investment.
“The business is looking strong and with the addition of the Network Rail contract that confidence is being projected across other areas of the business,” Hall noted.
He added: “The Adey Group acknowledges the high level of skill we have among our workforce and recognise the talent we have throughout the business is a key element in us progressing in the way that we are.
Founded by Harry Adey in 1925, the company originated as an ironmonger before moving into the supply of structural steelwork to a number of varying sectors with a broad customer base across blue chip construction and engineering firms.
Andrew Adey, the fourth generation of the family, is now managing director (MD) and has worked with the Manufacturing Advisory Service for a number of years, receiving advice and practical help with implementing an ISO9001-compliant quality management system and assistance in the tender process for the Network Rail contract.
The MD commented: “[MAS] has further helped us in the process of finding consultants, gaining accreditations and opening up several possible sources of funding, all of which have been extremely beneficial to the business.”
MAS adviser, Adrian Waters added that Adey Steel was well-placed for expansion on the back of the new quality management standards and predicted the company will have an “exciting period ahead” as it continues to take opportunities in both the rail sector and the wider construction industry.