AWS Electronics acquires Instem Technologies

Both companies provide specialist services to customers in sectors including aerospace, defence, communications, security, surveillance, medical, rail and emergency services. Instem, which is based at Stone, close to the AWS site in Newcastle Under Lyme, came out of receivership in 2005, and has spent the last 18 months rebuilding the business. AWS says it now intends to run both facilities as one entity. Says AWS group chief executive Paul Deehan: “This is great news for AWS and for our customers. As a group with annual sales now in excess of £40m, we have further increased our capability and breadth of services. The acquisition is strategic, as it allows us to provide flexibility and capacity for the sales growth being created within both businesses.” As a result of the deal, AWS now dominates electronic manufacturing in the North West, and Deehan claims that this is evidence of the company reversing the trend for EMSs downsizing in the UK. He also predicts that, with the AWS growth forecasts and order book, the firm needs the extra capacity that Instem brings – both in terms of people and the plant. “Both sites will be at increased capacity in the coming months,” he says. “We plan to develop a senior management team to manage both sites as one entity so we can get the benefits of flexibility and reduced overhead costs that this brings.”