Houghton International ‘will maintain global growth mission’ after IPS deal

An electromechanical services firm says it is primed to continue its “mission to excel globally” after being taken over.

Newcastle’s Houghton International is now part of US-based Integrated Power Services (IPS).

IPS says the “milestone” agreement will help it break into new UK, European and Middle Eastern markets.

According to the terms of the deal, 40-year-old, family-founded Houghton International, whose services include electric motor and wind turbine generator repairs and maintenance, will join 11 IPS bases specialising in propulsion systems for industries such as freight rail and mining.

Michael Mitten, Houghton International chief executive, said: “I am thrilled to hand over the responsibility for future growth to IPS.

“I am proud of our innovations and achievements, and grateful to our employees, suppliers and customers, who have supported us throughout my 19 years of leadership.”

The deal was supported by WilliamsAli Corporate Finance, which acted as lead adviser to Houghton International shareholders.

Legal advice was provided by Muckle LLP’s corporate finance partner Adam Rayner and corporate finance solicitor Sophie Cragg, with tax advice from UNW’s corporate tax partner David Ward.

Michael said: “It was important for this to be led by the very best advisers, who would understand our values while bringing the technical expertise to handle the complexities of a cross-border, private equity transaction.

“WilliamsAli has been outstanding throughout the process, while the legal and tax advice from Muckle and UNW was of a consistently high standard.”

Phil Williams, WilliamsAli Corporate Finance co-founder, who was supported by team members Lucy Elliott and Tristan Woolcock on the deal, said: “It is great news for the region that IPS will continue to invest and build on the strong foundations created by the Mitten family.

“We are delighted to have worked alongside our colleagues at Muckle and UNW to deliver a successful transaction.”

David added: “As one of our long-standing clients, it has been a pleasure to help Michael fulfil his ambition and achieve an outcome that will enable the business to continue to grow and expand its offering to new customers and markets.”

Pictured, above, from left to right, are Adam Rayner; Tristan Woolcock; Jack Dunning, of Houghton International; Sophie Cragg; Michael Mitten; David Ward; Phil Williams; Josh Campbell, of Muckle LLP; and Lucy Elliott