Kyte to engage with IDA over expansion plans
Kyte Powertech, which only last week announced its acquisition by a Swiss company, says it “will be engaging with the IDA in due course” over plans to expand the local manufacturing business.
While there are “no specific plans” in the immediate term, a spokesperson informed the Celt “the intention is to develop and further expand” the business in time.
The capabilities of the company include applications for Wind, Solar, Battery Storage and EV charging stations, which are all fundamental products required in the drive towards Net Zero carbon emissions.
“There are considerable market opportunities in Europe and beyond. Our addressable market is growing significantly thanks to a surge in electricity usage, transport electrification and data consumption. The drive to net zero all over Europe is also stimulating higher growth.”
One of Cavan’s largest manufacturing firms, Kyte currently employs around 490 people and manufactures 17,000 transformers annually at its 17,500sq m facility on the Dublin Road outside Cavan Town. Revenues to the end of March this year were reported at €165M.
First established as Pauwels Trafo in 1977 and twice rebranded, the latest buyout is seen as a strategic move by the Swiss headquartered R&S to broaden its own market footprint.
Kyte currently has circa 75% of the Irish market share for distribution transformers; and commands 40% of the UK market.
It’s also ranked in the top five suppliers to the market in Belgium and Netherlands, with a strong foothold in Germany and France.
“We will be engaging with the IDA in due course. Enterprise Ireland have been very supportive over the last four years,” said the company spokesperson, adding: “This is good news for the business. We can continue to invest in capacity and capability to meet growing demand. This builds on the significant investment that has been made over the last four years, which has already allowed us to increase our offering to our customers.”
In the statement issued announcing the R&S deal, Kyte said the company will “continue to operate as normal”; while its senior management team, led by CEO Stephanie Leonard, said the acquisition “could not have been better timed”.
She assured that the deal is “good news” for employees and brings with it “significant security” for the local plant.
“The management team which has driven the business since 2020, remains fully on board and committed to the company. We are very much excited about the potential this acquisition brings,” she said.
R&S Group operates six manufacturing facilities in Switzerland, Italy, Poland and the Middle East. It already has a global workforce of over 600 people, and a market capitalisation of around €420m.