We are pleased to announce that the Corporate Finance Team has advised the shareholders of Crofton Engineering Limited on its sale to STRABAG UK Limited, the UK division of STRABAG SE, a leading Austrian construction technology group with a global presence.
Based in Linton, Cambridgeshire, Crofton Engineering is a specialist in the fabrication and installation of steel structures and fire training buildings. The business has built a strong reputation for high quality production, technical expertise, and longstanding relationships across the UK.
The acquisition forms part of STRABAG’s strategic objective to deepen its footprint in the UK market. Crofton’s established capabilities, strategic location and specialist fire training expertise made it an ideal platform to support STRABAG’s continued expansion.
Following the transaction, Crofton will retain its brand and operate as part of the STRABAG Group. Adam McGregor (Commercial Director) and Ian McAlpine (Operations Director) will manage the business moving forward, following the planned succession of Glen Godfrey, who has stepped down as Managing Director in line with the agreed transition arrangements.
While day to day operations will continue largely unchanged, the acquisition has already facilitated an enhancement to production capacity by securing additional neighbouring space to accommodate identified growth and streamline operational efficiency.
The deal was completed for an undisclosed sum.
Glen Godfrey, former owner and Managing Director of Crofton Engineering commented, “After almost 32 years with Crofton Engineering Ltd, the decision to sell the company was extremely difficult. Thanks to the patience, diligence and determination of Phillip, Darren & the whole team at PEM we achieved a great result.
This has secured a wonderful future for my family, I will always be grateful for the support they provided throughout a very challenging period.”
PEM acted as lead adviser to the vendors, with the transaction led by Philip Olagunju and Darren Hagan, supported by Joshua Adu, Asaad Khan and Marvel Okosun. Legal advice to STRABAG was provided by DWF Law (Paddy Eaton and Sophie Morris), while Crofton was advised by Phillips Dempsey (Olly Phillips and Matthew Dempsey).
Darren Hagan, Associate Director at PEM Corporate Finance, said:
“Leading the sale of Crofton Engineering to STRABAG has been a genuine privilege. Phil and I were pleased to co-lead this cross-border transaction, supported by Joshua and Marvel, and it has been an extremely rewarding process to be part of from start to finish.
Crofton is a first-class business with an exceptional team, and we are confident it has found an excellent long-term home. This transaction allows Crofton to embark on its next stage of growth while maintaining and strengthening its position as one of the region’s leading specialists in the fabrication and installation of steel structures and fire training buildings.
This is also an excellent outcome for the vendors and the new senior management team.
It has been a real pleasure working with all parties throughout the process, including the team at Phillips Dempsey, and we are grateful for the professionalism, collaboration, and positive spirit shown by everyone involved.”
This transaction represents another M&A lead advisory deal in the construction and engineering sector for the PEM Corporate Finance team, further strengthening the firm’s credentials in one of East Anglia’s most dynamic industries.