Co Tyrone manufacturer announces 'significant' investment by H2 Equity
Investment firm H2 Equity Partners has made a "significant" investment in Co Tyrone-based BA Components.
Cookstown-based BA manufactures kitchen and bedroom doors and furniture components. Founded by twin brothers Brian and Kieran McCracken, it also has manufacturing sites in Doncaster and Rotherham in England.
The deal "will support BA's strategy of continued investment in our manufacturing sites and bringing new product ranges to market and being able to serve all parts of the market", the company said.
"The aim is to become Ireland and the UK's clear number one specialist door and furniture component manufacturer."
Managing director Brian McCracken said the company started attracting M&A interest about two years ago: "We had a few offers to sell the business but we didn't want to do that. So we came up with a hybrid if you like, which is where the H2 guys come in. They understand family businesses.
"It was very much about what's right for BA as a business, and Kieran and myself... we still are major shareholders in the business. We still are active and will be."
It's the third investment made by H2's latest fund, a €235m endeavour targeting investments in UK and Irish SMEs. H2 investment manager Cathal Turley said the firm had approached the McCrackens directly because of H2's knowledge of the sector.
"We visited a lot of BA's competitors as well and what we noticed straight away was that BA has some of the most advanced facilities within Ireland and the UK.
"So we want to build upon that and continue to invest in plant and machinery, and make them the clear number one player in the market.
"That includes investing in new products and bringing new products to market, something which BA does every year," he said.
Financial terms were not disclosed.