Northern Ireland investment vehicle Lagan Investments has acquired a majority stake in a West Yorkshire timber frame manufacturer.

The business, which was created following the sale of Lagan Group to Breedon Group last year, has invested in Frame-Tech Structures Ltd to expand its timber frame representation in the north of England.

Frame-Tech has a leading market position in the North of England, manufacturing and installing in excess of 1,000 residential units. The company employs around 60 people.

The acquisition will provide excellent synergies with the Lagan's FastHouse operation, based in Limavady, Northern Ireland, which has grown its market share considerably across Ireland in the last year with a sales pipeline in excess of £20m.

Both companies are well placed to benefit from the UK and Ireland's increasing demand for new housing stock, notably as developers and contractors move towards using more modern methods of construction including off-site manufacturing.

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The UK timber frame market has grown substantially in recent years, with the market forecast to grow by over 25% to nearly £1BN by 2022. Timber frame construction now accounts for about 30% of all new build housing units.

Commenting on the acquisition, Peter Lagan, director of Lagan Investments, said: "The acquisition of Frame-Tech provides us with the opportunity to expand our timber frame representation into the North of England. The Company has a young, enthusiastic and dynamic management team and we feel very confident that we can work together to grow the business further. Given the ever-increasing demand for off-site manufacturing, and the need to address the shortage of homes throughout the UK and Ireland, we intend to collectively grow our market share and consider further acquisition opportunities."

Jamie Atkinson, MD of Frame-Tech Structures added: "This new investment by Lagan will allow us to take the business to the next stage, expanding both our product offering and geographical coverage. Having worked closely with Kevin and the Lagan management personnel over the past few months, we are very confident that our talented teams can work together to deliver value for money solutions for both existing and new customers. We also envisage exciting opportunities to work closely with the Lagan owned FastHouse operation."