RS Industrials (North East) Ltd A North East industrial equipment supplier completed a management buyout with the help of a £4.25m injection from private equity investors.

Posted on 09 January 2024

RS Industrials (North East) Ltd, which has sites in Gateshead and Billingham and specialises in servicing, repairs and maintenance of hoists and gantry cranes, and was set up by Mike Riley and Neil Sanderson in 2001. The pair are now stepping back from the business as Mark Cawley and Phil Heathcock have joined as CEO and CFO respectively.

The deal has been backed by Foresight Group, which plans to support the new management in a growth strategy that has already seen the recruitment of seven engineers. RS supplies manufacturers across the North East and is said to have grown since a relocation in 2006, supported by loans from UK Steel Enterprise, which allowed it to open engineering supply shops at its Tyneside and Teesside sites.

Mark Cawley, CEO of RSI, said: "I have thoroughly enjoyed working with the Foresight team to help secure the long-term future of the business. Foresight’s expertise in supporting SMEs will be pivotal in taking RSI to its next phase of growth. This significant investment will allow RSI to continue to create highly valuable skilled jobs in the area while ensuring our customers continue to receive an unrivalled service."

Source: BusinessLive