A West Midlands aluminium supplier and fabricator is entering a new phase of growth after completing a management buyout, supported by growth finance from Allica Bank.
Smethwick-based LA Metals, which has supplied aluminium extrusion products for nearly four decades, has been acquired by Finance Director Justin Bates and Operations Director Chris Grierson, who have spent 11 and eight years with the business respectively. The management buyout was financed through a Growth Finance loan from Allica Bank, which also provides additional working capital to support the company’s next stage of expansion.
Founded in 1987, LA Metals supplies and fabricates aluminium extrusion products for customers across a range of sectors, with clients including Next, Burger King and the Ministry of Defence. The company expanded its offering in 2022 with the launch of Aluminium Online, enabling consumers to purchase shorter and bespoke aluminium extrusion lengths directly.
Under the new ownership, LA Metals plans to invest in new manufacturing equipment to increase production capacity and broaden its capabilities. Planned investments include a laser cutting machine, allowing the business to manufacture bespoke aluminium components and further strengthen its position as a one-stop shop for customers. The company is also aiming to relocate to larger premises and expand its workforce as demand grows.
Chris Grierson, Operations Director and new co-owner of LA Metals, said: “Justin and I are delighted to finally get started on this new chapter of growth for the business, something which has been in the pipeline for a long time, and we have bold plans to expand the business’s offerings so we can essentially become a one-stop shop for our customers.
“We initially thought the buyout was likely to be a tall order, but by working with Mike at Odyssey, who introduced us, and Allica, they made it so easy from start to finish and there has always been someone to speak to when we’ve had questions.”
Allica Bank’s Regional Lead for Growth Finance, Amy Beasley, said the transaction demonstrated the potential of established UK manufacturers to grow under experienced leadership.
“Justin and Chris have such a clear vision for where they want to take the business under their leadership, and it has been a joy to help make this acquisition a reality,” she said.
“LA Metals is a prime example of an established business quietly working away to provide an essential service and we at Allica are proud to support them through that.”
The deal was supported by advisers including Odyssey Corporate Finance, Legal Clarity, Sanderson Weatherall and Pinsent Masons.
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