Malted ingredients company Muntons has secured an increase in their asset based lending (ABL) faclilities thanks to a deal with worth £53.4million.
As a result, Muntons have moved all their financial facilities across to us, making us sole banking partners and paving the way for future growth at the company's Stowmarket headquarters.
Muntons has been producing malt and malted ingredients for over 90 year. It has grown to be a significant international player in the supply of malts, malt extracts, flours and flakes to the food and drinks industry. The firm has enjoyed significant growth recently, and last year recorded a 63% increase in pre–tax profits.
The Suffolk employer currently uses British-grown barley to make their malt. To successfully build their business and compete on a bigger stage, they knew they would have to increase their global prescence. A recent joint venture in Thailand has added to their manufacturing bases, opening up significant sales opportunities in Asia.
Alan Ridealgh, Managing Director of Muntons:
"We're an international player supplying our malt to a range of blue-chip clients. Last year we invested £5.4 million in an anaerobic digestion plant to treat liquid waste from our ingredients business in Stowmarket, which was partly funded by invoice finance. The extension of the ABL facility helps us to meet our ambitious growth targets both here in the UK and abroad.
"The Royal Bank invoice finance team has been an avid supporter of our business. I am pleased we have a relationship with one trusted banking partner to support our long term plans and aims."
Chris Hawes, Director UK Corporate (invoice finance):
"We are delighted to extend our relationship with Muntons and increase their ABL facility. The confidence provided by asset based lending has given the company a real boost to their strategy, and is a great example of how this innovative funding line can support growing businesses."
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