STRIX GROUP, the leading supplier of controls for water boiling appliances used in the home, has joined forces with HSBC PRIVATE EQUITY, which acquired a minority stake to provide development capital for the business.

In addition, STRIX GROUP will make use of HSBC's international network and financial expertise to continue the development of its overseas business, especially in the Far East.

STRIX GROUP has won the Queen's Award for Export in 1995 and 1998, together with the Queen's Award for Enterprise: Innovation 2000. STRIX controls are used over ONE BILLION times a day around the world. It was founded in 1981 by Dr John Taylor (who retired last year) and is currently lead by Executive Chairman, Edwin Davies OBE and Chief Executive, Brian Amey.

Chris Masterson, Managing Director and Nigel Hammond, Head of European Investment, both of HSBC PRIVATE EQUITY, together with Wayne Chapman, Senior Vice President Investment Services of BANK of BERMUDA, will join the Board of Directors of the holding company. Professor Sir Roland Smith, the current Chairman, has retired but will continue as a consultant to the company.

Edwin Davies said "This arrangement will enable STRIX to bring new technologies to the domestic appliance market and help us to continue to grow by providing innovative system solutions to meet our customers' future needs".

Nigel Hammond said "In addition to its existing global market leadership, STRIX is continually striving to use technological advances for the benefit of its customers and home users. We are delighted to be helping to support the further development of the business."

STRIX GROUP were advised by KPMG Corporate Finance and Clifford Chance.