Engineering company Southern Bear has agreed to acquire IPCL, which specialises in applying fire protective coatings to steel structures, for up to £4.83 million.

Engineering company Southern Bear has agreed to acquire IPCL, which specialises in applying fire protective coatings to steel structures, for up to £4.83 million.

The deal comes after Southern Bear’s acquisition of Phoenix Dynamics, a producer of electronic equipment for the defence industry, and central heating specialist Fenhams in 2008. Tyne and Wear-based IPCL generated pre-tax profits of £1.04 million in the year to July.

Jon Pither, chairman of Southern Bear, said the deal would strengthen the support services arm of the group and enhance existing revenue streams.

In the six months ending September, Warwickshire-based Southern Bear reported an increase in revenue of 113 per cent to £15.4 million and a rise in profits before amortisation of 20 per cent to £1.5 million.