Celeros Flow Technology (Celeros FT) has announced a strategic plan to provide future stability for its ClydeUnion Pumps facility in Cathcart, Glasgow.
American-headquartered Celeros FT manufactures and maintains pumps, valves, filtration, closures and other fluid handling equipment for customers operating in the renewable, defence, nuclear, oil and gas and water treatment sectors. It purchased the Cathcart site from SPX FLOW in 2020, bringing ClydeUnion Pumps under its umbrella of brands.
To raise funds to invest and grow the business, Celeros FT is harnessing its property portfolio. The Cathcart site comprises approximately 18 acres, including six acres of redundant buildings and land along Inverlair Avenue. The intention is to offer the redundant land to the residential market and use the funds to reinvest in the business. Meanwhile the sale and leaseback of operational land and buildings has just completed. Celeros FT has signed up to a minimum 25-year commitment on the 369,000 sq ft of manufacturing buildings and 111,000 sqft of office space it currently occupies, with options to extend the term.
Chris McVicker, Chief Financial Officer for Celeros FT, said: “We are proud of the manufacturing capability and heritage of ClydeUnion Pumps and see a period of investment as the catalyst for growth. The initial focus will be to invest in the existing building infrastructure and site energy performance, with further plans to build upon our core competencies of engineering, manufacturing and testing pump solutions for the worlds most demanding operating conditions.”
Investment to build upon Celeros FT’s existing workforce is also underway with the introduction of a new apprenticeship programme. Designed to create the workforce of the future, the programme offers 48 apprenticeships over six years, with 22 recruited across 2021/2022 and a further 26 planned for 2023-2026. The apprenticeship scheme will ensure strength and depth across all functions and is run in conjunction with East Kilbride Training Group.
Chris McVicker added: “We have now established a stable, sustainable and future-proof plan for Cathcart that unlocks new opportunities for the business and the local economy. We are disposing of the excess building and land in a respectful way, appreciating our legacy and honouring our community.”
Celeros FT has appointed Dawn Developments and Cushman & Wakefield to provide development advice on the best way to deliver investment from the vacant property. Work to demolish disused buildings is already underway and consultation with the community will form part of the residential development.
Paul O’Donnell, Development Director at Dawn, said: “The enthusiasm of Celeros Flow Technology to secure the long-term future of ClydeUnion Pumps in Cathcart is refreshing. Their vision for the site will enhance the local area in a positive manner, providing much needed family housing in Glasgow and enabling Celeros FT to focus on continuing the legacy and heritage of over 135 years of design and manufacturing of pump equipment in Cathcart. We will now embark on a period of community consultation and as plans develop and details evolve, we will be actively sharing them.”
In the sale and leaseback transaction, Cushman & Wakefield and Dawn Developments acted on behalf of Celeros Flow Technology/ClydeUnion Pumps.
David Davidson, Chair of Cushman & Wakefield in Scotland, added: “We are delighted to have worked with Celeros and Dawn to conclude a successful transaction with an established long-term income investor. It was a highly competitive bidding process with wide international investor interest. All parties that viewed the premises responded very positively to the ClydeUnion Pumps business and reinvestment plans and shared our collective view that the business would go from strength to strength for decades to come at this historical location in Glasgow.”