Multi-million pound takeover at Leamington-based Aga Rangemaster

William McGrath, chief executive of the AGA Rangemaster Group, delivers his speech during the unveiling of the company's one millionth range cooker. On the far left is the golden Nexus 90 and closest to Mr McGrath is a special commemorative cake made for the occasion. NNL-150528-111947001

The company, which employs between 500 and 600 people in Leamington and hundreds more in Shropshire, has agreed a sale with the Illinois-based Middleby Corporation.

Shares in cast-iron cooker manufacturer - which has a history in the town dating back to 1803 - have shot up in value.

There is no talk of any job losses and Middleby executives say they recognise the quality of Aga’s business and prospects.

Last year Aga Rangemaster did announce a fall in profits, mainly due to pension costs, shop closures and site rationalisation.

Although a market in China has been opened up and overall revenues rose.

Aga will come under the direct control of a wholly-owned subsidiary of the Middleby Corporation called Bidco.

Under the terms of the acquisition shareholders will each receive 185p in cash for each Aga share.

A spokeswoman for Middleby said the acquisition presented an attractive opportunity to extend its global reach in the premium kitchen appliances segment of the market.

Aga’s brands include the Rangemaster, Le Cornue and Marvel which would complement Middleby’s portfolio of brands.

It’s expected new lines of distribution will now be open to the Leamington firm which has its art, design and some production workers in the town. The manufacture of most of its products has been done in Coalbrookdale, Shropshire, since 1930.

The plan is to keep the cookers being manufactured in the UK. The millionth cooker in the range was made earlier this year.