Close Brothers Private Equity Limited (“CBPE” – Notes to Editors) has contributed a further tranche of acquisition funding to enable its investee company, United Polymers (“UP”), to acquire Birmingham-based AP Elastomers from Automotive Products Group.

AP Elastomers manufactures a range of rubber and thermoplastic components used in the automotive sector such as dust seals, hydraulic seals and rubber gaiters. Key customers include Federal Mogul and Lucas. With sales of £4m p.a., it complements UP’s presence in the automotive markets. The enlarged group, together with UP’s sister company, VIP-Heinke, acquired in February 2002, will have turnover in excess of £35m.

The deal marks another transaction in which CBPE has backed Midlands entrepreneur David Grove and his team of operational managers: Rod Lister is Managing Director of United Polymers.

David Grove commented: “AP Elastomers fits well with UP and provides us with greater critical mass in the tough automotive sector. It has a very strong customer base with good prospects for growth from newly introduced products”.

John Snook, Managing Partner of CBPE, added: ”We are very pleased to continue UP’s growth by acquisition. This deal helps build us into a sizeable supplier in the sector with a broader range of growth opportunities”.

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This press release has been issued by Close Brothers Private Equity Limited. Close Brothers Private Equity Limited is regulated by the FSA.