Kyte Powertech to Expand After Swiss Acquisition, Plans Talks with IDA

Cavan-based firm Kyte Powertech, recently acquired by Swiss company R&S, has signalled its intention to expand its local manufacturing operations and will be engaging with the Irish Development Agency (IDA) to discuss its future plans.

Kyte, a leading manufacturer of transformers for the energy sector, has revealed that while there are "no specific plans" in the immediate term, it intends to "develop and further expand" its business in the future. The company's capabilities include the production of essential components for the transition to a net-zero carbon economy, including wind, solar, battery storage, and EV charging stations.

A spokesperson for Kyte highlighted the significant growth potential in the European market. "There are considerable market opportunities in Europe and beyond," they said. "Our addressable market is growing significantly thanks to a surge in electricity usage, transport electrification and data consumption. The drive to net zero all over Europe is also stimulating higher growth."

Kyte currently employs around 490 people at its 17,500 square metre facility on the Dublin Road outside Cavan Town. The company, which was previously known as Pauwels Trafo, has a strong track record in the Irish and UK markets. It holds a commanding 75% market share in Ireland for distribution transformers and boasts a 40% market share in the UK. Kyte also ranks among the top five suppliers in Belgium and the Netherlands, with a substantial presence in Germany and France.

The acquisition by R&S, a global leader in the energy sector, is viewed as a strategic move to expand R&S's market footprint. The spokesperson for Kyte emphasised the positive impact of the acquisition on the company's future. "We will be engaging with the IDA in due course. Enterprise Ireland have been very supportive over the last four years," they said. "This is good news for the business. We can continue to invest in capacity and capability to meet growing demand. This builds on the significant investment that has been made over the last four years, which has already allowed us to increase our offering to our customers."

Kyte has reassured its employees that the company will "continue to operate as normal" following the acquisition. The company's CEO, Stephanie Leonard, stated that the acquisition "could not have been better timed" and is "good news" for employees, bringing "significant security" to the local plant. She stressed that the management team, which has been at the helm since 2020, "remains fully on board and committed to the company".

R&S Group, with a global workforce exceeding 600 and a market capitalisation of around €420 million, operates six manufacturing facilities across Switzerland, Italy, Poland, and the Middle East. The acquisition of Kyte signifies a significant investment in the Irish market and further positions R&S as a key player in the global energy transition.