Foresight VCT portfolio company Aquasium Technology Limited (Aquasium) has completed the sale of EBTEC Corporation (EBTEC), the electron beam welding specialist and subsidiary of Aquasium, to EDAC Technologies Corporation (EDAC) for approximately GBP11 million, generating a return of GBP2.7m to the VCT.

Foresight VCT made an investment of GBP1.9m in Aquasium, the technology focused holding company whose specific aim is to acquire and build up companies in the broader technology sector which have good mature technology and products but are not realising their full potential.  Aquasium acquired EBTEC from Smiths Group in 2005, since when the business has benefited from supportive shareholders and the management has driven high levels of growth at both the revenue and profit lines, whilst creating a solid reputation for the business to grow under new management.

EBTEC Corporation was founded in 1963 and is a certified supplier to major aerospace and industrial concerns around the world.  Having pioneered the development of non-contact, high energy beam (HB) technologies with the Apollo Space Program, proving at the time that electron beam (EB) welding could meet the demands that space travel would place on engineered products, EBTEC’s precision high energy beam processes today extend to laser welding, laser cutting, laser drilling, EDM, vacuum heat treating, and abrasive waterjet cutting with comprehensive precision fabrication solutions.

Andrew Shannon, Investment Manager of Foresight Private Equity, says: “Since our original investment in Aquasium in 2001 we have worked closely with the management team to grow and transform the businesses in the portfolio.  The sale of EBTEC to EDAC is a vindication of the strategic vision of the company and is a great outcome for all parties, realising GBP2.7m for Foresight VCT shareholders.”

Foresight remains an active investor in Aquasium.