A NEW regime at award-winning Claro Precision Engineering, of Knaresborough, today claimed that that the company was poised to strengthen its market position and create more jobs.

A combined management buy-in/buy-out was announced at the 26-year-old precision engineering company which employs 50 people, has an annual turnover of £3 million and an extensive track record in work for the automotive, medical, defence and aerospace industries.

Leading the buy-out was non-executive director and investor Martin Doxey, formerly chief executive of the bio-science investment fund, White Rose.

He joins the team as managing director, following the decision of founder Howard Chadwick to retire.

He is joined by the existing sales director, Mike Lewis, and production director, Richard Wilson, together forming the buy-in/buy-out team.

The team were advised by York-based Garbutt & Elliott Corporate Finance, legal advice was provided by Denison Till, also of York, and the deal was funded by HSBC.

The vendors were represented by WBS Chartered Accountants and Harrogate solicitors Davidson Webber.

Mr Doxey said the fresh injection of cash and ideas would strengthen the market position of the company, which has won the prestigious engineering award, the GTMA World Class Golden Globe, for the last two years.

Richard Feltham, head of corporate finance, said today: "This deal is an excellent example of succession planning in a family-owned business. The founder wanted to retire and this deal gives two of the senior members of management a stake in the future of the business and also brings in new abilities in the shape of Martin Doxey. At the same time it raises funds for investment in the future of the business."

Mr Doxey said: "We have exciting plans for the future of Claro Precision Engineering.

"The firm has an enviable reputation for quality and a solid client base and we will continue to build on these strengths as we seek new markets and further develop Claro as a major player in the precision engineering market."

The firm has already announced plans to recruit extra staff, and its latest modern apprentice, Andrew Rogers, recently began work at the factory.

Mr Doxey said: "We have always had a close relationship with the local community in Knaresborough and firmly believe in giving something back to the town around us. We are pleased that our continuing success means more employment opportunities for local people."

Updated: 09:59 Thursday, July 08, 2004