Aerospace group Meggitt has taken control of its engineering joint venture Heatric by paying £19m to its Australian founders.
The business was set up after investors came to Meggitt to help develop a new heat exchange technology. It now makes printed circuit heat exchangers for the oil and gas industry.
Meggitt owned a majority stake in the business, which made profits of £2.9m on sales of £12.7m last year.
Chief executive Mike Stacey said owning the business would allow Meggitt to make more of the product’s potential and develop its historic growth pattern, but warned the low price of oil could inhibit future growth.
But Meggitt’s present trading assessment was upbeat, showing that the aerospace sector it specialises in remains buoyant.