Wincanton flies off with Product Support

A Wiltshire-based supply chain specialist has established a presence in the defence and aerospace markets after buying a logistics services provider. Wincanton, which has operations throughout the UK and Europe, now serves companies such as AgustaWestland, BAE Systems and Honeywell after buying Product Support.

The group paid £27 million for the company, funded from its existing debt. A further £3 million is also due depending on Product Support’s performance until April 2009.

The acquisition is the latest in a series by Wincanton. Its other acquisitions this year have included HeBo, a logistics provider to technology companies in Germany, and the container logistics operations of Hanbury Davies.

Product Support’s services include managing time-critical spare parts and components, specialised storage, protective packaging design and manufacture, security screening and distribution. Wincanton intends to market these services to support new sectors.

The company employs more than 400 people from its 25 support centres. In the year to April 2008, it reported pre-tax profits of £3.6 million and a turnover of £19.4 million.