Merged building materials group has revenue of £220m

TWO manufacturing firms have merged to create a new building materials group after securing a funding package from HSBC totalling £55.6m.

QRL Radiator Group, which manufactures domestic radiators, and 2IM Group, a leader in the UK roofing market, have merged their operations to form the new business which is headquartered in Newport.

The merged businesses have a combined revenue of £200m and an extensive reach across the UK, Ireland and mainland Europe from their manufacturing facilities in south Wales.

The financial support from HSBC will enable the continuing expansion of the businesses which have both experienced strong growth in their respective markets.

QRL is a well-established domestic radiator business in the UK, continental Europe and Ireland and also manufactures high-end design radiators.

2IM is a leader in the UK soft (lead) and hard metals roofing market. Both businesses will continue to trade under their original names.

Ian Flaxman, HSBC’s director for large corporate, said: “We are pleased to back this merger and provide funding to support the continued growth and expansion of two well-established manufacturing businesses.

“Both QRL and 2IM are committed to the region and to UK manufacturing and have ambitious plans for the future.”

Tony Mullins, executive chairman of QRL Radiator Group, said: “Funding from HSBC provides a strong financial and commercial base from which to grow both QRL and 2IM to their full potential.

“The merger creates a substantial and profitable UK-based manufacturing operation and backing from HSBC will drive growth.”

The new group has a turnover of £200m and employs 700 staff across its manufacturing operations in south Wales.