Rosebank Industries plc is eyeing a £3 billion double swoop.
The Jersey-headquartered firm is listed in London and was established by former senior management at Melrose, with former chief executive Simon Peckham serving as CEO.
Rosebank, which made its first acquisition last summer in Electrical Components International, says it operates a proven model of ‘buy, improve, sell’.
This was also a tagline at Melrose, a Birmingham-based turnaround company which bought out, operated and – in some cases – sold engineering companies.
Peckham and three Melrose colleagues – including Chris Miller, now senior independent director at Rosebank – were criticised in 2018 after each of them were paid more than £40m in bonuses as part of a £8bn swoop for Redditch-based engineering giant GKN.
Rosebank is now eyeing two of American Securities’ portfolio companies: processing equipment supplier CPM, which supports the food and renewable energy sectors; and precision component engineer MW Industries.
Rosebank, which intends to complete its move to the main market of the London Stock Exchange in Q2 2026, confirmed press speculation that it is in advanced talks around a potential combined £3.05bn deal.
If it proceeds, it would be funded through a combination of a fully underwritten equity issue of approximately £1.9bn and new debt facilities.
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The fundraise would be executed by way of a firm placing concurrent with a retail offer of up to £10 million for UK retail shareholders and investors.
American Securities is a US-based private equity firm.