Private equity firm STAR Capital Partnership LLP acquired GenAir UK, a leading air compressor supplier based in Wednesbury, in a strategic move to strengthen its presence in the industrial sector.

The acquisition was backed by a financing deal arranged by Clydesdale Bank, trading as Virgin Money, and Santander UK, forming a two-bank club to support the transaction. Gateley Legal advised both banks, overseeing the financing process to ensure a seamless deal completion.

GenAir UK operates a fleet of over 800 air compressors and dryers, catering to industries such as aerospace, petrochemical, rail, sewage treatment, and civil engineering. The deal also includes GenAir Asset Leasing, a subsidiary specializing in equipment leasing.

Ian Mansell, senior director at Virgin Money Strategic Finance, highlighted the significance of the investment, stating, “We are delighted to have worked alongside STAR Capital and Santander to deliver additional investment that will support the continued growth of GenAir. Alison and the team at Gateley provided invaluable support throughout the financing process, ensuring a successful and timely transaction.”

STAR Capital specializes in strategic investments across Western Europe, focusing on developing industrial businesses. The acquisition aligns with the firm’s ongoing investment strategy in the specialist industrial sector.

Gateley Legal played a key role in facilitating the deal, with banking and finance partner Alison Davidson-Cox leading the team alongside associate Megan Kirby, senior associate Sharon Malhi, and trainee solicitor Harry Rowe. Corporate and tax support was provided by partner Andrew Cowan, lawyer Tanisha Gupta, and senior associate Anamika Pandey.

Nick Howard, director at Santander’s Financial Sponsors team, emphasized the deal’s importance, saying, “This was a fantastic transaction to be involved in, and we are pleased to have supported another high-growth business in the Midlands. It was a pleasure working with Alison and her team at Gateley, who provided valuable counsel throughout the process.”

The acquisition positions GenAir UK for further expansion under STAR Capital’s ownership, leveraging its expertise and capital to enhance operations and market reach.