Juices and fruit-based desserts maker Orchard Home Meals has secured a £21.73m asset-based lending facility from Safe Belief Financial institution Industrial Finance in a bid to help its development plans.
The deal follows Elaghmore’s acquisition of the Corby-headquartered recent fruit enterprise in January 2021 and can allow the corporate to put money into new gear and ongoing product improvement.
Orchard Home Meals provides to retailers throughout the UK and Eire, together with Marks & Spencer, Sainsbury’s, Greggs and Pret a Manger.
UK personal fairness fund Elaghmore invests in corporations with a view to driving natural development, with the target of doubling the income of its portfolio throughout the first 5 years of funding. Having raised a £60m fund in 2016, Elaghmore accomplished a £30m top-up final 12 months to put money into UK corporations.
Mike Rice, funding director at Elaghmore, mentioned: “Our information of outlets, expertise within the fruit market and the growing development of wholesome snacking as a meals development meant Orchard Home was an ideal match for us.
“Ready fruit is a sexy proposition to the tip shoppers and retailers alike, however its perishable nature requires particular information and gear to benefit from the merchandise. We now have the information and when mixed with the help from STB, it permits us to put money into the gear and product improvement to ship our development technique.
“All through the pandemic we’ve labored very well along with Safe Belief Financial institution – they’ve been collaborative and versatile relating to drawback fixing, which has been particularly helpful within the present panorama.”
Tony Younger, regional gross sales director at Solihull-headquartered Safe Belief Financial institution Industrial Finance, mentioned: “Elaghmore noticed the chance that the grab-and-go meals sector offered and located a enterprise that they knew they may add actual worth to. Orchard Meals already has large development potential, and the addition of Elaghmore’s information and steerage will solely speed up this.
“We labored carefully with Mike to grasp the plans for the enterprise, and it was clear product improvement was important to its development.
“We’re happy to have been capable of turnaround such a versatile facility that may develop because the enterprise does in a reasonably brief timeline. We’re wanting ahead to constructing on this relationship sooner or later.”