Welshpool-based SPX Contech has bought its own dedicated manufacturing plant from the Welsh Development Agency in a £3.75m deal.

The mid-Wales company, which employs 84 people, makes more than 1.6m aluminium steering racks and power take-off products a year for VMs including Ford, Jaguar and Land Rover, and has recently secured an order from Mercedes-Benz for its Sprinter van.

Peter Radcliffe, SPX Contech managing director, says: “We have a state of the art facility here in Wales of which we’re very proud. The purchase of the facility from the WDA was the next logical step in our development and highlights our overall commitment not only to Welshpool and Wales as a whole, but also to the European automotive sector.”

The WDA built the plant, in Buttington Cross Enterprise Park, after SPX picked the site as its preferred location.