Leumi ABL Client Case study - Framptons
Leumi ABL see a cracking flow of deals
Leumi ABL see a cracking flow of deals
Leumi ABL has provided a £7m Asset Based Lending funding line to Framptons, the £43m turnover, Shepton Mallet based manufacturer of egg products and processor of liquid products, comprising debtor finance, plant finance and term loan.
The funds enable Framptons, which was bought by the current team in an MBO in 2014, to invest in further new product development for bakery and food service customers and for specific capital expenditure projects – money that was unavailable from their clearing bank.
Jason Holland, Regional Sales Director in the Midlands, commented: “This is a typical ABL deal for us. Framptons is a long established business in the South West which continues to grow and the existing clearing bank were unable to provide the level of support required. It is a well-controlled business with strategic direction in a particularly lively sector.”
Allan Staples, Finance Director at Framptons, said: “We had discussions with other finance providers but Leumi ABL were very proactive in helping us through the process. They worked closely with us to understand our requirements and were keen to find a solution that would work for our business. They were also rigorous in making sure everything was in place so that the deal could be finalised as smoothly and promptly as possible.”
The re-finance was introduced by Barry Lee and Stuart Hands at Translink Corporate Finance, a leading independent M&A and corporate advisory firm with a focus on UK and cross-border deals.
This comes hot on the heels of a string of completions nationally by Leumi ABL, supporting a wide range of sectors.
Leumi ABL completes £14.225m deal with leading supplier of Indian foods.LEARN MORE
Leumi ABL is pleased to be supporting the growth plans of Indo-European Foods (IEF) with a structured finance facility totalling £14.225 million.
Trading in the UK for 15 years, IEF have built a reputation for creating the finest quality products and bringing the true taste of India to the UK. Selling predominantly rice along with Indian cooking sauces and ingredients under the Kohinoor and Trophy brands, they supply supermarkets and large wholesalers.
Seeking to finance ambitious growth plans, IEF selected Leumi ABL.
Commenting on the new financing deal, Sumit Arora, Managing Director at IEF, said: “It has been an absolute pleasure to work with Leumi ABL. They are the ideal bespoke fit for our food manufacturing and import business. I was very impressed with how quickly and seamlessly we were able to migrate from our existing lenders to Leumi. The Leumi ABL model is an effective yet simple to operate facility for a business to borrow against its mixed portfolio of assets. The team at Leumi is extremely professional and helpful and I am looking forward to working with them in the future as our business grows.”
Rob Wakeford, Leumi ABL Regional Sales Director (London), added: “Working closely with the senior team, it was clear that IEF has a strong plan for growth and required flexible financing to take advantage of new opportunities, whilst dealing with the challenges of exchange rate movements. Leumi ABL was able to provide fully revolving facilities against debtors and stock that will grow as the business grows, and additional lending offers further flexibility. We are delighted to be supporting IEF as they continue their growth strategy.”
Leumi ABL were advised by Addleshaw Goddard, and due diligence was provided by Hilco Valuation Services. Indo-European Foods were introduced to Leumi ABL by Funding Solutions.
Leumi ABL Completes £Multi Million Deal with Biosite SytemsLEARN MORE
Leumi ABL has provided a £multi million Invoice Discounting facility to support the growth of Biosite Systems, a supplier of biometric workforce management and site security solutions into the construction sector. Backed by Mobeus Equity Partners, Biosite provides technologically advanced fingerprint recognition devices and operationally enhancing control management systems. The Leumi facility provides flexible funding to support significant growth plans.
Based in the Midlands and established in 2011 by entrepreneurs, Dr Li Wang and Dr Greg Reynolds, the business has developed a unique algorithm for site worker control and received investment from Mobeus in 2016.
With a client base including many Construction Corporates, Biosite is at the forefront of contractor management and project efficiency in the sector. The patented low-grade fingerprint technology is complemented by a software system that allows customers to utilise the data collected from the access control platform to manage their workforce, in addition to providing broader security services including integrated CCTV, fire alarms and guarding.
Li Wang, Founder and Director of Biosite said: “We are delighted to have secured this funding from Leumi ABL to support our development plans. Leumi have taken the time to understand the nuances of our business and we look forward to building a very successful working relationship.”
Amit Hindocha, Investment Director at Mobeus Equity Partners, added: “We approached Leumi due to their ability to structure business-appropriate financing packages. Leumi has delivered a funding solution which will provide essential flexibility and support for Biosite’s growth ambitions.”
Martin Risman, Leumi ABL Regional Sales Director, commented: “Biosite is an exciting progressive business with great technology, an award-winning investor and a stand-out growth plan. We look forward to being involved in supporting the business in the next stage of its journey”.
Leumi ABL has provided a £5 million ABL facility to support the growth of Private Equity backed Cash Processing Solutions, ‘CPS’. The facility provides flexible funding to meet worldwide demand for the high quality, high specification range of cash processing machines manufactured by CPS.LEARN MORE
Acquired by Privet Capital from De La Rue plc as a non-core operation in March 2016, CPS is one of the market leaders providing world-class cash processing hardware, software and related services to central banks, commercial banks, state printworks and commercial cash processing companies. Its solutions play a critical role in managing cash throughout its lifecycle from manufacture through to issuance, circulation, processing and destruction. These complex sorting solutions process over 100 billion banknotes per annum from operations in 106 countries, supported by a team of over 500 people.
Andrew Crawshaw, CFO of CPS, said: “We are delighted to have secured this funding from Leumi ABL to support our growth ambitions. Leumi have taken the time to understand the nuances of our business and we look forward to building a very successful working relationship.”
Ian Slater, Partner at Privet Capital, said: “We approached Leumi due to their understanding of our specific plans and requirements and ability to structure business-appropriate financing packages. Leumi has delivered a funding solution which will provide essential flexibility and support for CPS’s growth ambitions.”
Martin Risman, Leumi ABL Regional Sales Director, commented: “CPS is an exciting, well established business with a world-class product and customer base and a stand-out global growth plan. We are delighted to be involved in supporting the business in the next stage of its journey.”
Privet Capital were advised on the transaction by Fladgate and Leumi ABL were advised by Squire Patton Boggs.
Leumi ABL is pleased to announce that it has supported the MBO of two businesses, Steel Plate & Sections Limited and Stemcor Special Steels Limited from their holding company group.LEARN MORE
Leumi ABL supports MBO of Steel Products business with multi-ABL facility
Leumi ABL is pleased to announce that it has supported the MBO of two businesses, Steel Plate & Sections Limited and Stemcor Special Steels Limited from their holding company group. The management team was supported with investment from Breal Capital affiliates and secondary funding from Breal Zeta Limited.
Steel Plate & Sections and Stemcor Special Steels both sell speciality steel products to customers in the oil and gas sectors.
Leumi ABL provided finance to support the acquisition with an aggregate facility of £14.5m, comprising a £9m CID facility, £4.5m inventory facility and a £1m term loan.
Commenting on the deal, Brent Osborne of behalf of Breal Group said: “Leumi ABL’s proposal was attractive as it provided funding against all the business assets. Leumi worked with us to make sure completion was achieved in the required and challenging timeline, whilst really understanding the business.”
Robert Wakeford, Regional Sales Director at Leumi ABL said: “This is the second corporate carve out we have funded in April, and on both occasions it has been the certainty of delivery against a deadline that has been critical to the success of the deal.”
Hilco Valuation Services undertook the Accounts Receivable field exam and inventory appraisal work. Gunnercooke advised the companies. Squire Patton Boggs advised Leumi.
Leumi ABL has recently completed the £19m refinance of leading brand Whitworths Ltd on full Asset Based Lending facilities including CID, Stock and Term Loan.LEARN MORE
Leumi cracks dried fruit and nuts refinance
Leumi ABL has recently completed the £19m refinance of leading brand Whitworths Ltd on full Asset Based Lending facilities including CID, Stock and Term Loan.
The facility provides funding for investment in new plant, marketing, innovation and overseas expansion, in support of Whitworths’ long term plans for growth.
Mark Fairweather – CEO of Whitworths said: “The merger between Anatolia and Whitworths in May 2017 created the opportunity to invest in the growth of the Whitworths brands both in the UK and internationally, as well as investing in the appropriate packing facilities to meet the long term needs of our key retail customers and their brands.
“This funding provides Whitworths with the ability to build on its unique position in the market delivering supply chain integrity from producer to consumer on key areas of dried fruit. This is an exciting opportunity for Whitworths and one that will bring long term benefits to our consumers, customers and suppliers.”
Jason Holland, Regional Sales Director (Midlands) of Leumi ABL said: “We are delighted to support the leading name in dried fruit, nuts and seeds, in both own brand and private label markets. Management have a strong vision and are making great steps fulfilling customers’ requirements in both product range and service delivery. This can only enhance Whitworths’ reputation as the leading brand. Our comprehensive asset based lending facilities provide Whitworths with capital for growth and investment.”
Leumi ABL is pleased to have provided funding to support the acquisition of Birmingham based FGF, by Go Interiors, the largest independent specialist distributor in the construction interior sector.LEARN MORE
Leumi ABL supports growth of a £65m turnover building products Group
Leumi ABL is pleased to have provided funding to support the acquisition of Birmingham based FGF, by Go Interiors, the largest independent specialist distributor in the construction interior sector.
Founded in 2001, £35m turnover Go Interiors, headquartered in Hemel Hempstead, distributes dry lining, suspended ceiling, partitions and insulation systems. The business has featured in the Times Fast Track 100 and UK Hot 100, having built a strong reputation in the industry for its expertise and the benchmark-setting standard of customer service.
FGF, a family-run £25m+ turnover business founded in 1954, specialises in decorative cladding and facades, cutting, re-manufacturing and industrial insulation solutions. Over the last seven years, the business has restructured, supported by Leumi ABL, and has progressed well to a profitable position.
The acquisition offers the opportunity for both organisations to reach new markets and customers will benefit from a unique offering of products and services.
Commenting on the financing deal with Leumi ABL, Gerard Abbott-Drake, Director at Go Interiors, said: “Having spoken with a number of banks, the decision to go with Leumi ABL was an easy one. Their approach was simple and straightforward and the people making decisions had an entrepreneurial flair that was really refreshing. The team were extremely helpful and made the completion of the deal as uncomplicated as possible. I wouldn’t hesitate to recommend them.”
Leumi ABL completes £5.75m financing deal with Hider Food Imports Leumi ABL has supported one of the UK’s leading distributors of nuts and dried fruits, Hider Food Imports, with a multi-facility Asset Based Lending package.LEARN MORE
Hider Food Imports is the leading distributor of fine foods to the independent retail sector and has recently won two industry awards, including being voted number one by retailers in their sector-leading magazine for the fifth year.The family-owned business has operated from its HQ in Hull since 1965 and continuing growth plans prompted the business to seek a new flexible Asset Based Lender who could support their working capital requirements in the short, medium and long-term. Leumi ABL provided a facility comprising of £5.75m invoice discounting, plant and machinery finance and a stock finance facility.Duncan Hider, Managing Director at Hider Food Imports, commented: “After looking at various traditional funding partners and new lenders on the market, we were enthused by a more old style banking approach to lending. We use the term ‘old style’ in a positive way: not decision makers hiding behind relationship directors, but human beings with whom we could meet and who followed through on their verbal commitments.
“Receiving good recommendations from our trusted network about Leumi’s ability to deliver the finance required was very important to us. Throughout the process my fellow director and I received regular progress updates, whether it be positive or negative. Communication from Leumi ABL was strong, with face-to-face conversations backed up by phone and email. When we encountered challenges, solutions were explored quickly, and the information requested from us was standard information that was easily put together.
“Everyone we dealt with at Leumi ABL seemed to be aware of our requirements and helped to make the process as straightforward as possible. Yes, there were hiccups, and yes, things took longer than planned, but each barrier and delay was communicated well, and solutions worked on from both sides. There seemed to be a real team spirit within Leumi ABL and this gave us reassurance. We got the sense that decisions were made more quickly without long chains of management and approvals, taking into consideration discussions as well as numbers to really understand the business.
“In terms of fees, we had sensible discussions; Leumi ABL didn’t simply tell us what the cost was, they talked us through the proposals and listened and responded to our concerns. Their approach to us always came across positively, and very quickly we felt at ease to discuss issues openly. They viewed our business, our assets and then worked on a facility that fitted our requirements, without onerous covenants with a straightforward open approach, letting us concentrate on running the business.”
John Walsh, Leumi ABL Regional Sales Director in the North East & Yorkshire, comments: “We had a clear mandate on what was required and with the help of Hider’s professional team, we were able to structure the facility and demonstrate our refreshing approach, flexibility and timely response yet again enabling us to be the favoured funding partner.”
Leumi ABL completes £25m cross border ABL facility to support growing international recruitment business. Leumi ABL has completed a £25m facility for Red Commerce, a private equity owned international recruitment business.LEARN MORE
With its global headquarters in London, Red Commerce operates from eight offices in the UK, Germany, Switzerland, US and Brazil, supplying SAP consultants globally to meet the requirements of businesses seeking full-time staff or contingent staff.
Staff operating the specialist IT software system, SAP, are highly skilled and command high rates of pay, with an average of £500 per day being paid to them. This creates a large working capital requirement.
When Red Commerce’s high street bank failed to have the appetite to support its growth plans outside of the UK, Leumi ABL was able to step in and set up facilities in the UK, US, Germany and Switzerland. The package comprises of invoice discounting and an additional unbilled finance facility.
Red Commerce is majority owned by Dunedin, a mid-market private equity firm, which is currently investing in businesses from its £300m fund. Dunedin purchased Red in 2010 with Red commanding an enterprise value of £44m. Dunedin and the management team have a high growth strategy for the next three years: £90m turnover is forecast to grow to £189m in 2019.
Red Commerce is one of an increasing number of Leumi ABL deals supporting Private Equity. Leumi ABL has a specialist understanding of the PE market having completed many successful PE deals in recent years.
Rob Wakeford, Leumi ABL Regional Sales Director in London, comments: “We had a clear mandate on what was required. With the help of Red’s highly professional team we were able to structure the facility as it was initially envisioned and look forward to supporting Red Commerce’s international growth plans.”
Leumi ABL supports Liberty House Group with growth capital for its engineering businesses. As the UK steel industry continues to generate headlines, Leumi ABL is delighted to have supported Liberty House Group with a £20m Asset Based Lending facility comprising of Invoice Discounting and Stock Finance.LEARN MORE
The facility will be utilised by Liberty Tubular Solutions and Liberty Distribution to deliver their ambitious growth plans that are already gathering pace. As part of Liberty Industries Group, the Liberty Tubular Solutions and Liberty Distribution Divisions are leading UK manufacturers, distributors and suppliers of steel tubing and specialist tubular components to the automotive and aerospace industries. The businesses are part of Liberty House Group, part of an international privately owned business specialising in metals trading and the manufacture and distribution of steel and advanced engineering products which employs c.3,000 people globally and has a current turnover of approximately $7 billion.
Sanjeev Gupta, Executive Chairman at Liberty House Group, commented: “Leumi ABL are an excellent choice of partner to fund our growth plans for this recent strategic acquisition for the group. They were able to work quickly and closely with us to deliver a flexible funding package that will support the growth of our new division. Liberty had access to key senior personnel at Leumi throughout the process which meant the financing was concluded in good time and in line with expectations, allowing us to move forward with our exciting plans for the business.”
Rob Wakeford, Regional Sales Director at Leumi ABL, added: “We are delighted to support Liberty House Group at a time when the state of the UK steel industry is very much in the spotlight. The combination of Leumi’s flexible and personal approach together with a credit decision made quickly meant that Liberty could move forward with the certainty of funding being in place. We very much look forward to working with the team at Liberty.”
Leumi ABL completes £18m Kindertons deal. Leumi ABL has provided a £18m structured Invoice Discounting facility to support the refinancing of Private Equity owned insurance services business, Kindertons Group.LEARN MORE
Leumi ABL completes £18m Kindertons deal. Leumi ABL has provided a £18m structured Invoice Discounting facility to support the refinancing of Private Equity owned insurance services business, Kindertons Group.
The refinancing provides flexible funding to support Kindertons’ growth plans, both organically and through a targeted buy and build strategy.Crewe-based Kindertons provides credit hire and accident management services to its customers, working with its partner insurers, insurance brokers and garage referrers. The Group also includes market leading motorcycle credit hire operator, Plantec and taxi credit hire operator, Sovereign Automotive. Kindertons is focused on providing exceptional customer service which is recognised by its referrers and customers.Sovereign Capital, the UK Buy & Build Specialist, invested in Kindertons in 2013. Since then, the Group’s revenues have grown significantly, to in excess of £90m in 2015. The Group generates over 35,000 vehicle hires per annum from its nationwide fleet of approximately 4,000 vehicles delivered from 14 depots.Nigel Ward, Group Finance Director of Kindertons, said: “We are delighted to have secured this funding from Leumi ABL to support our growth. Leumi have taken the time to understand the intricacies of our business and market and structured a facility to meet our requirements. We have already developed a close relationship with Leumi, successfully completed a further acquisition and look forward to their continued support.”
Rob King, Investment Director at Sovereign Capital, said: “We approached Leumi due to their pragmatic style and ability to structure business-appropriate financing packages. Leumi has delivered a funding solution which provides significant flexibility to support the business’s substantial growth.”
Martin Risman, Leumi ABL Regional Sales Director, commented: “It has been a complex process and transaction during which we appreciated working with excellent teams at both Kindertons and Sovereign Capital. The structure of our facilities, aligned to the sponsor support, provides a solid funding base from which Kindertons can expand and further prosper.”
Leumi ABL was introduced to the transaction by Litmus Advisory.
Legal advice to Leumi ABL was provided by Gateley plc and Pinsent Masons acted for Kindertons.
Leumi ABL completes £8.5m Hoops and Shapes deal. Leumi ABL has supported Pasta Foods Ltd, a £28m turnover pasta and snacks manufacturing business, with a full asset based lending facility of £8.5m, comprising of Debtors, Stock, P & M and Term Loan facilities.LEARN MORE
Pasta Foods recently invested heavily in a brand new, industry leading manufacturing facility in Norwich to serve its global customer base in every continent. Leumi ABL provided facilities to replace the existing clearing bank with headroom for growth. Customers include many of the leading pasta processing companies, including one very well-known brand name which uses character pasta shapes supplied by Pasta Foods.
Leumi ABL were delighted to partner with the existing investor shareholders and to back their future plans. Jason Holland, Regional Sales Director at Leumi ABL in the Midlands said: “This was a competitive tendering process where our refreshing approach, flexibility and timely response yet again enabled us to be the favoured partner. My thanks go to Peter Seary at Roythorne’s who initially put me in contact with the Company.”
Simon Webber, Director and shareholder at Pasta Foods, added: “We wanted to work with Leumi ABL due to the manner in which they are set up to support growth, particularly in a sector such as ours. They showed real understanding of the challenges in the food sector and the importance of having available cash. The ABL package, in particular the CID facility, will help greatly with our working capital requirements. Leumi ABL delivered the deal quickly and Jason was always available to offer support throughout the process.”
Additionally, Leumi were delighted to work with a wide range of Midlands’ advisers; Freeths for Leumi ABL, Prettys (Company) and Gateley (Bank). SIA undertook the asset valuations on behalf of Leumi ABL.