Specialised chemical manufacturer, FIS Chemicals, has secured a £1.7 million asset based lending facility from Independent Growth Finance (IGF). The funds raised through invoice discounting and a property loan, were used to support an MBI and to provide working capital to support the growth of the business.
Aberdeen-based, FIS Chemicals Ltd have been established since 1980 to design, formulate, manufacture and supply specialised chemicals to industry and commercial operations throughout Scotland, Europe and worldwide. From distilleries to football clubs, the business supplies water, energy, marine, leisure and hospitality sectors. FIS focus on the design of environmentally friendly products – Green chemistry, minimising the use of hazardous substances is at the heart of their vision. “Green chemistry from Clean energy” is the objective, FIS built an on-site solar farm and wind turbine which has been generating clean renewable energy for more than a decade to reduce its carbon footprint.
Private equity management companies, Foresight Group and Maven Capital Partners invested in the business, supporting the management team as the original owners retired. An additional debt facility was needed to fund the transaction and allow for growth out the other side.
FIS has been focused on ambitious growth goals and the asset based lending facility provided by IGF will allow the business the headroom it needs to meet those targets.
“We are proud to partner with FIS Chemicals to support the transition to a new management team and provide a solution to help the business meet its growth goals. Using asset based lending we can offer greater flexibility to make decisions than some more traditional lenders, plus the stability and security that businesses need,” said Jon Hughes ABL Director at IGF.
An experienced executive in the energy and specialised chemical sector, Kenny Woods will take over the role as CEO, bringing a wealth of experience globally. He reflected on the company’s experience securing funding: “IGF took the time to understand the mechanics of the business. This flexible funding facility will allow FIS Chemicals to focus on continuing to supply green, quality products to our extensive customer base whilst bringing new technology and solutions to the global market. It is an exciting time for the new management team and staff to drive the business forward in these challenging times.”