Flowtech Fluidpower PLC Directorate Changes (0484B)

TIDMFLO

RNS Number : 0484B

Flowtech Fluidpower PLC

18 September 2018

 
 NEWS RELEASE 
 
  Issued on behalf of Flowtech 
  Fluidpower plc 
  Immediate Release 
 
 
                   The information contained within this announcement 
        is deemed by the Company to constitute inside information stipulated under 
                      the Market Abuse Regulation (EU) No. 596/2014. 
         Upon the publication of this announcement via the Regulatory Information 
          Service, this inside information is now considered to be in the public 
                                         domain. 
 
 
                                 FLOWTECH FLUIDPOWER PLC 
                     ("Flowtech Fluidpower" the "Group" or "Company") 
 
                                   Directorate Changes 
 
 
 London, Tuesday, 18 September 2018: As stakeholders know, the last 18 
  months have been the most active and demonstrative to date of the Group's 
  growth strategy. Consequently, as part of the process of developing both 
  our UK and international footprint, we have been reviewing and implementing 
  several operational initiatives to support the infrastructure and future 
  growth plans. This includes investments in both capacity and people, including 
  adding experience at both PLC and operating management levels. In addition 
  to widening the teams' skills, contacts, knowledge and expertise, these 
  initiatives provide the next layer on the already strengthening market 
  position and solid business foundation and, support our ongoing aspiration 
  to create a focussed full-service fluid power provider across the UK, 
  Ireland and Europe. 
 
  As part of these plans the Company announces the following changes to 
  the Board: 
 
  Executive Board retirement and promotion 
 
  Sean Fennon, CEO for the last 9 years, has decided that he wishes to retire 
  from the business at the end of 2018. Sean will relinquish his executive 
  duties and step down from the Board with immediate effect and remain with 
  the Group in an advisory capacity until 31 December 2018. 
 
  The Board is delighted to announce that Bryce Brooks (aged 53) will take 
  up the role of CEO also with immediate effect and will continue to fulfil 
  the role of CFO until the appointment of the new CFO as detailed below. 
 
  Sean joined the business in December 2009 having already had a successful 
  career within the Industrials' arena. Bryce joined him during 2010 as 
  CFO. Together they refocussed the overall strategy preparing for the successful 
  IPO in May 2014. Since then the Group has pursued both an organic and 
  acquisitive growth strategy increasing the profitability* of the Group 
  from GBP5.3m in 2013 to GBP9.1m in 2017, with further significant progress 
  expected in 2018, creating the leading specialist fluid power group in 
  the UK and extending its footprint into Europe. 
 
  Board appointments: 
 
  Russell Cash - Chief Financial Officer 
  The Board is pleased to announce that Russell Cash will take up the position 
  as Chief Financial Officer with effect from 1 November 2018. 
 
  Russell (aged 51), is a qualified chartered accountant with more than 
  30 years' business advisory experience. He originally trained with PwC, 
  where he worked for over 20 years in the UK and across Europe. Following 
  this, he served five years as a partner at Baker Tilly (now RSM) and played 
  a major part in developing the business in the North of England and Scotland. 
  Currently, Russell is a Partner at FRP Advisory LLP, based in Manchester, 
  where he has been instrumental in the success and expansion of the business, 
  both in terms of geography and the range of services provided. 
 
  The Board consider that adding Russell's experience and knowledge will 
  provide strong leadership and expertise to the current central group finance 
  function. At Board level, the core skills which Russell has developed 
  advising a broad range of businesses and stakeholders will be invaluable 
  in supporting the Group's ambitious plans over the coming years. 
 
 
 
   Mr Bill Wilson - Non-executive Director 
   The Board is also delighted to announce that Bill Wilson will join the 
   team as Non-executive Director, an appointment he will take up with immediate 
   effect. Bill has previous working experience of the Flowtechnology business 
   having held the position of Non-executive Chairman at Fluidpower Holdings 
   Ltd for 18 months prior to the IPO listing and the exit of Gresham Private 
   Equity in May 2014. 
 
   Bill (aged 63), has extensive domestic and international commercial experience 
   in the private equity, private and public company arena. His core skills 
   are centred around the manufacturing and industrials sectors where, over 
   a 30-year career, he has worked in the UK and within North America, the 
   Far East and Europe. He has also had extensive involvement in international 
   M&A. During his career, he has shown resilience and the proven ability 
   to focus on both building established and start-up businesses to growth 
   and profitability. 
 
   Bill will Chair the Remuneration Committee and sit as a Member of the 
   Audit, AIM Compliance and Nomination committees. 
 

Commenting on the changes Malcolm Diamond MBE, Non-Executive Chairman at Flowtech said:

"Sean leaves the business in good hands with a strong and respected executive team capable of further enhancing the model we have today. On behalf of everyone in the business and all our stakeholders I thank Sean for his immense contribution and wish him well in his retirement."

"At the same time, I congratulate Bryce on his promotion and look forward to continuing to work with him at the helm."

"In summary, I am confident that combined with the current members of the Board and the executive management teams, Russell's and Bill's experience will be a significant asset as the business continues to focus on the delivery of its strategy."

Today, Flowtech also released its 2018 Half-year results - to read follow this link http://www.rns-pdf.londonstockexchange.com/rns/0484B_1-2018-9-18.pdf

Enquiries to:

Flowtech Fluidpower plc

Malcolm Diamond MBE, Chairman

Bryce Brooks, Chief Executive Officer and Chief Financial Officer

Tel: [phone]

Zeus Capital Limited (Nominated Adviser and Broker)

Andrew Jones, Alistair Donnelly (corporate finance)

Dominic King, John Goold (sales & broking)

Tel: [phone]

finnCap Limited (Joint Broker)

Ed Frisby, Kate Bannatyne (corporate finance)

Rhys Williams, Andrew Burdis (sales & broking)

Tel: [phone]

TooleyStreet Communications (IR and media relations)

Fiona Tooley

Tel: [phone] or email: [e-mail]

* Underlying operating result is continuing operations' operating profit before acquisition costs, amortisation of intangible assets, share-based payment costs, restructuring costs and IPO costs as shown in the financial statements.

The following information is disclosed as required under Schedule Two paragraph (g) of the AIM Rules for Companies.

Russell Cash:

Russell Cash's current directorships are listed below:

 
 Company            Appointed   Sector 
 FRP Advisory LLP   May 2013    Professional Services 
 

Bill Wilson:

Bill Wilson's current directorships are listed below:

 
 Company                     Appointed        Sector 
 Manuli Rubbers Industries   April 2018       Manufacturer of hydraulic components 
  S.p.A. 
 James Briggs Limited        September 2016   Chemicals manufacturing 
 Premier Topco Limited       September 2015   High performance fuels 
 Coryton Advanced Fuels      September 2015   High performance fuels 
  Limited 
 

Previous directorships including all of those held within the last five years are listed below:

 
 Company                     Tenure      Sector 
 Premier Bidco Limited       2015-2017   High performance fuels 
 Stewart Group EMB Limited   2015-2017   Manufacture and supply of technical 
                                          plastic moulded products 
 Gradus Group Holdings       2015        Commercial manufacturer of carpet 
  Limited                                 and accessories 
 Gradus Limited              2014-2015   Commercial manufacturer of carpet 
                                          and accessories 
 IESA Limited                2012-2014   Indirect materials storage and 
                                          supply chain management 
 Fluidpower Holdings         2012-2014   Wholesaler of flow technology 
  Limited                                 products and services 
 Davian Enterprises LLC      2009-2011   Manufacturer of tire tooling 
                                          and machinery 
 Trifast plc                 2008-2009   Manufacturer and distributor 
                                          of high-quality industrial fasteners 
 ERIKS Industrial Services   2003-2010   Industrial provider of flow 
  Limited                                 technology and power transmission 
                                          products and solutions 
 WYKO Group Limited          2003-2006   Global engineer and distributor 
                                          of power transmission products 
 

There are no further disclosures required under Schedule Two paragraph (g) of the AIM Rules for Companies.

 
 About Flowtech Fluidpower plc Founded as Flowtech in 1983, the Flowtech Fluidpower Group is the UK's 
    leading specialist supplier of technical fluid power products. The 
    business joined AiM in 2014. Today, the Group has four distinct divisions: 
   Division:         What we do:                         Locations: 
  ----------------  ----------------------------------  ---------------------------------- 
   Flowtechnology    focus on supplying distributors     Flowtechnology Benelux (Deventer) 
                     and resellers of industrial          Flowtechnology China (Guangzhou) 
                     MRO products, primarily serving      Flowtechnology UK (Skelmersdale) 
                     urgent orders rather than bulk       Indequip (Skelmersdale) 
                     offerings. It offers an              Beaumanor (Leicester) 
                     unrivalled 
                     range of OEM and Exclusive 
                     Brand products to over 5,000 
                     distributors and resellers. 
                     The catalogue is recognised 
                     as the definitive source for 
                     fluid power products, containing 
                     100,000 individual product 
                     lines and are distributed to 
                     more than 80,000 industrial 
                     MRO end users. 
  ----------------  ----------------------------------  ---------------------------------- 
   Power Motion      Specialise in the design,           Primary Fluid Power (Knowsley) 
    Control (PMC)    assembly                             Nelson Hydraulics (Dublin, 
                     and supply of engineering            Lisburn, Dungannon, UK) 
                     components                           TSL Fluid Power (West Yorkshire) 
                     and hydraulic systems and is         Albroco (Knowsley) 
                     further enhanced by a service        HTL (Ludlow) 
                     and repair function.                 Hi-Power Hydraulics (Cork, 
                                                          Dublin, Belfast Manchester) 
                                                          Hydroflex (Brussels, Rotterdam 
                                                          and OudBeijerland) 
                                                          Hydraulic Equipment Supermarkets 
                                                          (Gloucester, Leeds, Birmingham, 
                                                          Durham) 
                                                          Branch Hydraulic Systems 
                                                          (Gloucester) 
                                                          HES Tractec (Gloucester) 
                                                          HES Automatec (Gloucester) 
                                                          HES Lubemec (Gloucester) 
                                                          Derek Lane & Co (Newton Abbot, 
                                                          Devon) 
  ----------------  ----------------------------------  ---------------------------------- 
   Process           Focus on the supply of industrial   Hydravalve (Willenhall) 
                      components and solutions to         Orange County (Spennymoor) 
                      the process sectors. 
  ----------------  ----------------------------------  ---------------------------------- 
   Onsite Services   During 2018, the Group is           HES Onsite (Durham, Leeds, 
                     extending                            Birmingham, Gloucester) 
                     its service offering to include 
                     Onsite Technical Maintenance 
                     through highly skilled engineers. 
  ----------------  ----------------------------------  ---------------------------------- 
   All four of the Group's divisions have overlapping product sets, allowing 
    procurement synergies to be maximised. 
   The above divisions are supported by a centralised back office team 
    at the Skelmersdale site and a procurement and quality control team 
    in Shanghai. In total, the business employs over 600 people. 
 
    For more information please visit, www.flowtechfluidpower.com 
 

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September 18, 2018 02:02 ET (06:02 GMT)