Deloro Stellite
Deloro Stellite is a strong candidate for transformation. Operating in a complex market, where the barriers to entry are high, the company has an excellent opportunity to grow on the back of a strong global customer base and excellent product offering. We appointed a new management team and have tripled capital spending to prepare Deloro Stellite for further rapid growth.
Leaders in a specialist market
Deloro Stellite is one of the world’s leading producers of hard-wearing, long-lasting components made from cobalt and nickel alloys. Its products and services are used by the aerospace, power generation, oil and gas, auto and medical industries in environments where high temperatures, corrosion and abrasion can limit a product’s life.
Deloro Stellite is a major player in a sector that is very hard to break into.
Insight into the company’s issues
When Deloro Stellite was put up for sale by its owners, we were already well aware of the company. We’d known the previous CEO of Deloro Stellite for a number of years, and had been tracking the business for some time. As a result we had a clear insight into the issues the company was facing and were able to get the management team on our side and conclude the deal quickly.
Part of our acquisition plan was to strengthen the senior management team. Shortly after completion, we appointed Hans Nillson as CEO. Hans was previously CEO of Spectris plc, a £1 billion public company in the advanced engineering sector.
A strong candidate for transformation
Deloro Stellite has its head office in London, and operates nine plants in North America, Europe and China. Its customers include Rolls-Royce, Ferrari, Alstom, GE and BAe.
The casting and machining of superalloys is a sophisticated business. It requires a high degree of know-how, both of the processes involved and of each customer’s complex requirements. These factors make it very difficult for new companies to enter the market, or to build the kind of long-standing customer relationships it demands.
Deloro Stellite is a strong candidate for transformation. With a new management team in place, available capital for organic growth and acquisitions, and an increasing demand for its products, we have ambitious plans to build on the company’s leading market position.