AN industrial coatings company has acquired a 49 per cent stake in a rubber product manufacturer.
Barrier Group has bought the share in fellow Tyneside firm Aquaseal Rubber Ltd with the aim of helping to expand the business’ presence in to wider markets.
Aquaseal Rubber, which is based in Longbenton, is a family business run by managing director Jason Armstrong and his father, Eddie Armstrong.
The company primarily manufactures rubber coatings, tubes for road cleaning equipment, and fenders for Remotely Operated Vehicles.
The acquisition of a stake in Aquaseal Rubber comes as part of a broader move by Wallsend-based Barrier to expand the business and move into new markets.
Barrier was advised by Mark Adams, corporate finance partner of Hay & Kilner Solicitors, making it the third Barrier project to be completed by the leading Newcastle-based law firm.
Barrier Group was formed in 1975 to carry out painting of structures to be installed as part of the growing North Sea oil industry. The company has gone on to complete more than 200 major contracts, totalling millions of square metres of surface protection and has worked for most of the world’s major oil companies.
More recently the company has expanded its operations beyond the oil sector, and prior to the Aquaseal Rubber acquisition, began providing passive fire protection, metal spraying, powder coating and sub-sea insulation across the aerospace, marine and offshore renewables energy sectors.
Jason Armstrong, said: “Having been a family run company since 1972, we feel our longevity and success speaks for itself. However, to have a major player in North East industry such as Barrier seeking to work with us is a massive boost to the company, and reiterates our success.”
Robert Bowles, chairman of Barrier Group, said: “We are delighted to have acquired the stake in Aquaseal Rubber. It is a company with a strong history and an excellent reputation for quality and service.
“Utilising the skills and tools Aquaseal Rubber provides is an integral move for Barrier in the process of expansion, and diversifying our services. What is more, the move strengthens two North East businesses and enhances the region’s reputation for its stellar supply chain.”
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here