Framptons, which was bought by the current team in a management buyout in 2014 is to use the money to invest in further new product development for its bakery and foodservice customers and for specific capital expenditure projects.
The company, which has an annual turnover of £43m, obtained the financing, which comprises debtor finance, plant finance and term loan, through Leumi ABL after cash funds were unavailable from its clearing bank.
Framptons was founded in 1898. The company is an expert in liquid food, beverage processing and egg blends for the manufacturing, bakery and foodservice industries, as well as ready-cooked omelettes and scrambled egg for the catering, leisure, hospitality and foodservice sectors.
The company also has a contract packaging arm and is able to offer a range of pack formats from cartons to bag-in-box to bottles.
Jason Holland, regional sales director in the Midlands, said: “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 company has worked with a wide range of food companies, including Delamere Dairy, Just Bee, Shaken Udder and Jimmy’s Iced Coffee.