A heads of terms agreement has been signed with the owners of a building within Knowsley Business Park. The site spans some 2.1 acres and the building has a footprint of 55,000 square feet.
Merseyside Special Investment Fund has provided £500,000 of financial support, with £200,000 coming from the Regional Growth Fund and £300,000 in the form of a zero interest loan. Additionally, Knowsley Council has also offered financial support.
Surface Transforms added that its existing 12,000 square foot site in Ellesmere Port will be vacated when the lease expires in early 2017.
The new factory facility will be in two phases. Initially, the operation will span around 30,000 square feet, from September 2016, and it will be expanded by a further 25,000 square feet.
Kevin Johnson, Surface Transforms chief executive, described the signings as ‘significant milestones’ in the company’s development.
“The recent half year statement included details of one aerospace and five automotive ‘game changing’ contracts which, if all were successfully concluded, would in total, build up to £15m per annum of sales in the period 2018 to 2020.
“Our current site is insufficient for a company of that size and we have therefore been searching for a new site which can both cope with this ‘pilot plant’ demand level as well as providing further space for target sales beyond £15m p.a. in subsequent years.
“It is pleasing that we can provide this update to both prospective customers and shareholders."