BGF successfully exits Independent Forgings & Alloys as US private equity firm acquires majority stake

Tess Egginton
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BGF successfully exits Independent Forgings & Alloys as US private equity firm acquires majority stake
BGF has completed the successful exit of its investment in Independent Forgings and Alloys (IFA). Generating a strong return, BGF originally backed IFA in March 2018, to support the continued expansion of its manufacturing capabilities and go-to-market strategy.
Since then, the business has more than doubled annual revenues, significantly increased the footprint of its production facilities via the acquisition of Doncasters Precision Forge, and established itself as one of the leading suppliers of open and closed die forgings to the global aerospace industry. Operating from a 670,000 sq ft facility in Sheffield, IFA has a heritage stretching back to 1587. Now exporting to Europe, Asia, and North America, management has created a fully integrated, single-site forging, machining and testing business. It provides customers with mission critical components for applications within the aerospace, defence, oil and gas, power generation, and industrial processing industries. Following a successful seven-year partnership, Trive Capital, a US private equity firm with significant experience of the aerospace and defence (A&D) sector, has acquired a majority stake in IFA. The existing senior management team has re-invested as part of the transaction and will continue to lead the business, as IFA enters the next stage of its growth journey. Andy McGuinness, IFA’s Founder and CEO, said: “We’ve had a great journey over the past seven years with BGF. Their support and long-term, patient capital model has helped the business navigate the evolving global aerospace supply chain and given us the platform to execute our ambitious growth strategy. “Our achievements are down to the hard work and passion of our staff, and we are thrilled to have reached this milestone together. Trive’s investment underlines the future ambition of IFA and we look forward to working with them, as well as our employees and customers, in building on our successes to date.”
Rob Johnson, Investor at BGF, said: “IFA is a fantastic ‘Made in Sheffield’ success story, with a rich history and an exciting future. We’re proud to have played our part in supporting Andy and the team over the past seven years, and I would like to wish them every success with their new investment partner.”
Kroll acted as exclusive sell-side advisor to the company and shareholders, providing a range of transaction support services. Dafydd Evans, Kroll Managing Director, said: “We are delighted to have advised both BGF and the management team on the successful exit of IFA to Trive Capital, a leading US-based A&D private equity investor. BGF has a strong track record of successfully investing in management-owned businesses and we look forward to seeing IFA continue to thrive under Trive’s ownership.”

Yorkshire Building Society profits decline amid lower interest margins

April Lara
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Yorkshire Building Society profits decline amid lower interest margins

Yorkshire Building Society reported a drop in profits for 2024 as falling interest rates pressured mortgage and savings margins. Core operating profit declined from £449.9m to £345.7m, while pre-tax profit fell from £450.3m to £383.7m. Net interest income dropped by nearly £50m year-on-year to £736.5m, with net interest margin shrinking from 1.31% to 1.16%.

Despite the profit decline, the mutual expanded its mortgage book to £49.7bn, driven by increased gross lending and borrower retention. Mortgage arrears over three months, including possessions, stood at 0.5%, below the industry average of 0.97%.

Executives anticipate modest UK economic growth in the near term but highlighted uncertainty in global markets due to geopolitical conflicts and potential US trade tariffs.

Aluminium doors and security specialist secures funding for growth

Tess Egginton
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Aluminium doors and security specialist secures funding for growth
Bradford-based Crucial Engineering, which specialises in aluminium doors and security access systems, has secured a £250,000 loan from NPIF II – Mercia Debt Finance, which is managed by Mercia Debt as part of the Northern Powerhouse Investment Fund II (NPIF II). The funding will enable Crucial to take on bigger projects, and follows its expansion into larger premises last year and a spate of new high-tier contract wins. Crucial provides facades, shutters, barriers, gates and turnstiles for commercial properties such as factories, fast food restaurants, car dealerships and educational buildings. The company was founded in 2016 by Paul Van Heeswyk, a qualified electrician who was then aged 28, with the aim of bringing a new dynamic to the security access industry. It later expanded into aluminium doors and windows. Crucial now employs over 30 staff and serves major clients including builders’ merchants Travis Perkins, dealership chains Arnold Clark and Vertu Motors, student accommodation specialist Unite Students, and global property management company CBRE. In October 2023, the company moved into a new 35,000 sq ft unit in Bradford, which is five times larger than its original premises in Leeds, and it has since invested heavily in new equipment and fit-out. The NPIF II funding will provide additional working capital and enable the company to create three new jobs in the coming weeks. Paul Van Heeswyk, Managing Director, said: “At Crucial Engineering, we aim to bring a modern approach to traditional industries. We use new technology and develop innovative products. We also work hard to create a positive workplace culture and use apprenticeship schemes to attract new people into the industry. “Our investment in the new unit has proved worthwhile as it highlights our capabilities to larger clients and has helped us secure a range of new contracts. The funding will enable us to press on with our growth plans, with the ultimate aim of expanding outside the region and building a network of depots nationwide.” David Wright of Mercia Debt added: “Paul is an ambitious and dynamic entrepreneur who is focused on growth and has a clear vision for the future of the business. We are pleased to be able to support him on the next step of the journey.” James Gwynne of Commercial Expert provided fundraising advice to the company.

Hull businesses win praise from BID Exec Director

Stuart Pearcey
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Hull businesses win praise from BID Exec Director
HullBID Executive Director Kathryn Shillito has praised member businesses for building partnerships based on resilience and renewal in the face of continuing challenges. Speaking at the organisation’s annual awards night she said the combination of adaptability and unity would enable businesses to emerge stronger and maximise the opportunities to come during a year of positive change. She highlighted the setting up of a combined authority for Hull and East Yorkshire as a significant development which HullBID was determined to exploit, adding that the £65m Hull Maritime project was already bringing benefits as people make plans to enjoy the region’s biggest event since the UK City of Culture celebrations of 2017. She warned of the need for caution arising from the impact of rising costs and changes in consumer preferences, noting concerns around delays in completing the Castle Street roadworks and over continuing outbreaks of retail crime and antisocial behaviour, but she told how HullBID was leading the fight for improvements. “The election of a regional mayor will bring new opportunities for business and new investment. We look forward to working with the successful candidate but, as we do with all our partners, we will challenge the new mayor to make sure they understand the importance of a thriving city centre to the regional economy, the value of collaboration at every level and the ongoing need for innovation – and of course funding!” Kathryn said local independent businesses are responding positively, and she vowed that HullBID would support them every step of the way. “Independent developers continue to back Hull city centre and its future. The confidence of people who really get the ambitions of the city is clear as they are investing their own cash. “As our members adapt and endure the challenges HullBID has to step up too and provide even greater value. We’re not just a helping hand with security and cleaning issues. We give guidance and support to new businesses. We compile data and write reports to attract investment. “We are a conduit pulling together responses from our community on issues that matter, and we make our mark by shouting loudly and championing the voices of city businesses about local issues.”  

Waverley’s new high street to open this Spring as construction completes

Tess Egginton
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Waverley’s new high street to open this Spring as construction completes
Olive Lane, the new high street at Waverley, will be open to the community at the start of March as master developer Harworth completes construction of the development and businesses move in. The first amenity to open will be a Tesco store, while Specsavers, Hall Court Vets, Karobar Indian Restaurant and Little Olives Day Nursery will be commencing the fit-out of their units ahead of opening in the coming months. Harworth has also funded the development of a new GP practice and community centre at Olive Lane. Waverley Community Council will be using the centre as its base and creating the space with funding secured from the National Lottery. Waverley is the flagship development of regeneration specialist Harworth. Built on the site of the former Orgreave Colliery, the land has been transformed into a new community with over 1,700 homes and a primary school alongside the globally-recognised Advanced Manufacturing Park which is home to businesses including McLaren and Rolls Royce. The creation of Olive Lane is a significant milestone in the development of Waverley – it will be a place for those living and working there to come together and socialise and provides amenities for the growing community. The area is pedestrianised with a public square providing the community with additional outdoor space. Peter Massie, senior development manager at Harworth, said: “This is an exciting year for Waverley – there’s lots happening across the development and the opening of Olive Lane to the community is a real highlight. Harworth has focused on creating a vibrant place that meets the needs of those living and working at Waverley. “It will be great to see the high street come to life over the next few months, and for the community to start using the new amenities. We’re also looking forward to welcoming more businesses to Olive Lane. There are some additional commercial units available for occupation, so we encourage any businesses interested in being based at Waverley to get in touch.”

Yorkshire business confidence rises in February

Tess Egginton
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Yorkshire business confidence rises in February
Business confidence in Yorkshire rose 10 points during February to 39%, according to the latest Business Barometer from Lloyds. Companies in Yorkshire reported higher confidence in their own business prospects month-on-month, up 14 points at 53%. When taken alongside their optimism in the economy, up eight points to 26%, this gives a headline confidence reading of 39% (vs. 29% in January). A net balance of 38% of businesses in the region also expect to increase staff levels over the next year, up 12 points on last month. Looking ahead to the next six months, Yorkshire businesses identified their top target areas for growth as investing in their team, for example through training (48%), introducing new technology, such as automation or AI (35%), and evolving their offering, for example by introducing new products and services (35%). The Business Barometer, which surveys 1,200 businesses monthly and which has been running since 2002, provides early signals about UK economic trends both regionally and nationwide. National picture Overall, UK business confidence rose 12 points in February to 49% — its highest level since August 2024. Firms’ optimism in their own trading prospects increased six points to 57%, while their confidence in the wider economy rose 18 points to 42%. The North East was the most confident UK nation or region in February (69%), followed by the North West and East of England, both at 61%. Sector insights All four sectors surveyed saw double-digit increases in confidence. The largest improvements were seen in manufacturing, which rose by 13 points to 51%, and construction, which increased by 14 points to 50%. Retail also experienced a significant gain, up 11 points to 51%, and services rose by 10 points to 48%. Within the services sector, hospitality firms posted a particularly strong rebound in sentiment. Confidence across these sectors reached their highest levels in several months, ranging from four months in services to seven months in manufacturing. Martyn Kendrick, regional director for Yorkshire and the Humber at Lloyds, said: “It’s encouraging to see business confidence in Yorkshire continue to rise for a third month in a row, and particularly good to see such a positive outlook from the region’s firms when it comes to their own trading prospects. “As businesses look ahead to further growth, we’ll be supporting them with the tools and funding they need to make the most of any new opportunities – whether that’s by hiring new staff, or making investments in team development.”

AstraZeneca opens Lincolnshire biogas plant to power UK operations

April Lara
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AstraZeneca opens Lincolnshire biogas plant to power UK operations

AstraZeneca and renewable energy firm Future Biogas have launched a biogas plant in Gonerby Moor, Lincolnshire, to supply renewable energy for the pharmaceutical company’s UK operations.

The Moor Bioenergy plant will generate 100 gigawatt hours of biomethane annually, meeting the heating needs of more than 8,000 homes. By the end of 2024, AstraZeneca aims to power all its UK research and manufacturing facilities with clean energy, reducing its reliance on fossil fuels. The company expects the plant to offset 18,000 tonnes of CO₂ emissions per year, equivalent to 20% of its total global gas consumption.

Unlike some renewable energy projects, the plant was developed without government subsidies. AstraZeneca says the investment aligns with its broader goal of achieving 100% renewable energy across all global operations by the end of this year and reaching net-zero emissions by 2045.

AstraZeneca shares rose 0.24% to 11,910p on Thursday, reflecting a 15% increase over the past year.

North Lincolnshire Council to review HMO regulation amid rising concerns

April Lara
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North Lincolnshire Council to review HMO regulation amid rising concerns

North Lincolnshire Council will hold an extraordinary meeting to address concerns over the rapid expansion of houses in multiple occupation (HMOs) and their living standards. The meeting, initiated by opposition Labour councillors, follows reports of increasing HMOs in Scunthorpe and resident complaints about housing conditions.

A council review identified 110 suspected HMOs in just two wards—Crosby and Park, and Town and Frodingham—raising questions about regulatory oversight. Only 25 HMOs in North Lincolnshire hold mandatory licences, which are required for properties with five or more tenants sharing kitchen or bathroom facilities.

Labour councillors argue that local authorities elsewhere have imposed stricter controls and are calling for similar action. A motion on the issue will be discussed, and the meeting must take place by late April.

The council is already working on implementing selective licensing for landlords, a measure supported across party lines. In September, the ruling Conservative group approved selective licensing in parts of Scunthorpe.

Turner & Townsend relocates to zero carbon-ready office building in Sheffield

Tess Egginton
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Turner & Townsend relocates to zero carbon-ready office building in Sheffield
Turner & Townsend has completed the acquisition of sustainable, carbon zero workspace at Elshaw House, the flagship office development within the £470m mixed-use Heart of the City scheme led by Sheffield City Council and its Strategic Development Partner, Queensbury. CBRE’s Office Agency team in Leeds acted for Turner & Townsend. The majority-owned subsidiary of CBRE, Turner & Townsend will relocate from the second floor at 1-3 East Parade in Sheffield City Centre to 5,200 sq ft of office space at Elshaw House, which is located on Carver Street, next to Pounds 3.5 acre urban Park. The building has a five-star BREEAM green energy rating, as well as an ‘excellent’ five-star NABERS UK rating, and sits in the top 1% of office buildings in the UK for energy efficiency. Charles Parkinson, Associate Director, CBRE Occupier Services, said: “Elshaw House represents the very best in office space in Sheffield City Centre and the South Yorkshire region and sits in a truly transformational new city centre district. “The building not only delivers on its exceptional sustainability credentials, its wide amenity offer and its focus on wellbeing, it is close to the city’s talent pool with both Sheffield Hallam and the University of Sheffield nearby.” Chris Sargent, Managing Director, Real Estate UK at Turner & Townsend, said: “We are thrilled to be moving to Elshaw House, a pioneering development that aligns perfectly with our commitment to sustainability and wellbeing. “This move not only provides us with a larger, state-of-the-art workspace, but also places us at the heart of Sheffield’s vibrant and transformed city centre. The exceptional amenities and green credentials of Elshaw House will undoubtedly enhance our team’s productivity and overall work experience. “We are especially proud of relocate to a building that we played a significant role in delivering as Project and Cost Managers as part of the Heart of the City II development.  This achievement reflects our dedication to excellence and innovation and we look forward to continuing our growth and success in this outstanding new location.” Andrew Davison, Project Director, Queensberry, said: “This letting shows once again the strength of Elshaw House as a market leading sustainable office building and we are delighted Turner & Townsend has aligned with our vision and strategy. “Over the last 6 months we have seen an increasing number of companies placing sustainable office solutions at the forefront of their agenda and when combined with the building’s location, low running costs and onsite amenities within HOTC, makes Elshaw House the No.1 choice in the City, whilst significantly boosting staff retention and attraction rates for businesses.” Colloco and LSH acted on behalf of the landlord, Sheffield City Council.

Leeds real estate developer secures £14.2m development exit loan

Tess Egginton
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Leeds real estate developer secures £14.2m development exit loan
Specialist bridge lender Hilco Real Estate Finance (HREF) has provided a £14.2m development exit loan to Torsion Group, a Leeds-based real estate investor & developer. The 12-month loan at 74% net loan to value will provide the Group’s development arm, Torsion Developments, with additional time to sell the remaining units in their 364-unit Phoenix residential scheme in Leeds. Charlie Job, associate at HREF, said: “This development exit loan to Torsion is a perfect example of transitional capital, and demonstrates our ability to lend swiftly without any constraints on funding on any deal that makes sense. “This transaction also shows our appetite for development exit loans and the deliverability of our funding, and we look forward to transacting on further developments with Torsion Group.” The transaction was introduced by Nick Swerner of GLPG, who said: “Working with our client and Hilco on this deal was highly enjoyable, as we had two motivated partners to conclude the transaction, with Hilco proving to be a reliable capital partner, able to deliver swiftly on their own decision to lend without any third party involvement.” Valuations were undertaken by Gerald Eve LLP, and legal due diligence and transactional support was carried out for HREF by Clarion Solicitors led by Ben Slack and Marie Pugh.
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