Hiflex Fluidpower went into administration in September but much of the business has now been bought by Wolverhampton-based BMI Hose (Europe) Limited.

Acting on behalf of BMI, the Corporate team negotiated the purchase of the distribution and service assets of Hiflex, including 14 depots across the UK.

Following the acquisitions, BMI is now the second largest company operating in the emergency on-site hose replacement market that is estimated to be worth around £85 million per year.

Explained Andrew Borkowski, Head of Geldards’ Corporate Finance department in the East Midlands: “Hiflex Fluidpower has a long history and, since it was founded in 1941 as Oil Feed Engineering Limited, it had become one of the largest firms in the industry with a turnover in excess of £10 million a year.

“Unfortunately it found itself in some difficulty but we are delighted to have been able to assist BMI Hose in saving much of the business and securing around 130 jobs at the firm.”

As well as assisting in the purchase of the business for an undisclosed sum, Geldards is currently negotiating new leases on many of the properties formerly occupied by Hiflex depots across the country.

Andrew went on to say that Geldards had to work quickly to secure the deal, which was completed within a week.

“BMI needed to act straight away to acquire the parts of Hiflex that would strengthen its own position in the marketplace and I’m confident that the company will go from strength to strength,” he added.

Founded in 2007 by Simon Moxham, BMI Hose now plans to further expand its operations, creating around 20 jobs at its head office in Wolverhampton whilst investing another £250,000 in its warehouse and distribution system.