Companies: TSW   

Titan Europe, maker of wheels for agricultural, construction and earth-moving vehicles, as well as wet-ramp brakes for agricultural vehicles, recently joined AIM via a vendor placing of 26.8m shares at 125p. Steered by chief executive Mike Akers, the company has grown through acquisitions in its chosen areas and has manufacturing operations in the UK, Italy, France, Germany and Australia. One of its key strengths is the massive scale of equipment needed for the largest wheels, with the high capital cost proving a good barrier of entry to competitors. Titan is one of just two main players at the core of the European agricultural and multi-piece construction wheel markets - the other being GKN. The company also has 36% of an Indian wheel maker quoted on the Indian stock exchange. Group customers include Caterpillar, John Deere, Renault and Volvo Construction. The group's numbers for 2003 showed a significant improvement over 2002, with pre-tax profits up from £3.2m to £5m, on a higher turnover of £89m (£79m). Net assets also churned higher, from £45.2m to £49.7m. Akers believes there's growth to come through expansion into new geographical markets, as well as extending the product range and introducing new patent-protected designs. The company's nominated adviser and broker is Seymour Pierce. Worth a look.