Midlands automation firm secures £350,000 from investment fund
21 August 2024 
A Birmingham automation specialist which was a pioneer of plug-and-play robotics has secured £350,000 from the Midlands Engine Investment Fund II to help it meet growing demand from manufacturers wanting to automate their processes, and to expand its team, creating seven new jobs.
Mechatronic Production Systems (MechTech) was established 35 years ago to provide bespoke automation systems. It was one of the first to offer off-the-shelf robotics with the launch of its Robopod system in 2014. This system still accounts for almost half of the company’s revenues.
Robopod is a cost-effective way of automating repetitive processes such as assembly, ultrasonic welding, glueing, dispensing, inspection and machine tending, and can be adapted and reconfigured for different tasks.
Mechatronic currently employs 35 people, and has customers in sectors including aerospace, automotive, medical technology and plastics. The company, which boosted its revenue by 35% in the 12 months to March, is headed by managing director, Tony Parker-Watkins, who led a management buy-out in 2022.
“Robots can now easily take on simple repetitive tasks within factories, improving efficiency and freeing up humans to focus on more skilled and productive work,” he says. “With labour shortages and growing awareness of the potential for automation, our solutions are attracting interest from companies throughout Europe. We currently have a strong order book and record sales pipeline. The funding will enable us to expand our production capacity.”
MechTech’s backing has come from the £400m Midlands Engine Investment Fund II, operated by the British Business Bank, which helps to drive sustainable economic growth in the Midlands region by supporting innovation and creating opportunities for new and expanding businesses. The fund provides debt finance from £25k to £2m and equity investment up to £5m to help SMEs to start up, scale up or stay ahead.
The fund provides early-stage finance to firms that might otherwise not receive investment and help to break down barriers to finance. It works alongside the local authorities and enterprise partnerships as well as accountants, fund managers and banks, to support smaller businesses in the Midlands at all stages of their development.
