The deal, financed by Barclays Corporate is part of a £1m investment in the expansion of the engineering department for the business which has boosted turnover by 60 per cent to £8.5 million in the last two years,
The milestone move to Claylands Avenue follows a raft of new contracts for the 51-strong second generation family business which was founded in 1965.
The business will also continue to operate out of its existing site on Sandy Lane.
Recruiting 13 new employees in the last three months alone, Canning Conveyor has recently clinched major commissions with high profile organisations and energy providers including London Mining, Fiddlers Ferry and Didcot power stations and industrial minerals giant Sibelco.
It has also made parts used in sets and production of big budget films like James Bond and Charlie and the Chocolate Factory.
They also made conveyor belt for the ‘Tumbleator’ for the Sky One comedy sports quiz, A League of Their Own.
Paul Gibbon, a partner in the commercial property team of hlw Keeble Hawson, who acted for Canning Conveyor, said: “The new engineering factory, which incorporates fabrication, machine and assembly shops and offices, comes at a formative period for Canning Conveyor which is also investing in additional works, labour and engineering staff to accommodate increased orders and strong growth.”
Canning Conveyor financial director, Jeremy Hibbert, added: “Paul Gibbon made the complexities of the deal easy for us to understand and his advice was clear and prompt throughout the transaction.”
“Our bankers, Barclays Plc in Sheffield, were very supportive in making a mortgage finance facility available and our relationship with them is such that we feel they really understand the business and where we are trying to take it. Like us, they could see what a good deal this purchase was and how it would allow us to expand the business.”
Neil Bradburne, relationship director at Barclays, concluded: “This deal is a good example of the type of strategic and sophisticated transactions we are supporting and serves as a clear indication that Barclays is open for quality transactions in the region.”
“The management’s ambitious growth plans to double the size of the business are testament to their success, and will ultimately create many new and much-needed jobs.”