Sovereign Rotating Machines has sold a stake of more than 30 percent in its business to US firm WAIglobal in the hope of breaking into Europe and offering more new part numbers.
Sovereign managing director Richard Welland wouldnâ€™t reveal the value of investment, but said the UK company was still in overall control with a share of more than 60%.
Welland says WAIglobal wanted to enter the UK market and needed a partner like Sovereign so that it could offer a complete range with remanufacturer items.
As far as Sovereign goes, Welland says the deal will give the Sussex-based firm access to more new part numbers for newer cars.
â€œItâ€™s not a marketing thing – theyâ€™ve bought into the business – this is a genuine partnership. Both of the companies are entrepreneurial, and weâ€™ll do a lot for each other over the next few years.
â€œWeâ€™re now going to have late-to-range applications, water-cooled alternators and things like that. They too will have a full programme to sell into Europe, new and remanufactured.â€
Welland expects the total number of parts available from Sovereign to grow from 2500 to 3000 as a result of the deal, and a move in the sales split from the current level of 60:40 remanufactured to new units to 50:50.
Following growth of more than 20% in each of the past three years, Welland is also now hoping to double turnover over the next five years.