Mallows, based in Coed Ely near Tonyrefail, said the loan will enable its manufacturing site to operate 24/7 while supporting growth and making better use of its existing facilities.
The expansion will create 40 new roles within the company, including entry-level positions, highly skilled roles and commercial positions.
Rhys Mallows, joint managing director of Mallows Bottling & Beverages, said: “This deal with HSBC UK is a significant milestone for us. It’s enabled us to meet the demand for important customers and fuel our continued growth and create new jobs in Coed Ely.
“We are grateful for the assistance provided by HSBC UK, particularly our relationship manager at the bank Donagh Kenny, who has helped us every step of the way.”
HSBC UK will also provide Mallows with a ‘suite of working capital solutions’ to fuel the next stage of its development, providing the drinks firm the opportunity to acquire potential additional facilities and allowing for further expansion and order fulfilment for large supermarket chains.
‘Growth in the face of adversity’
Ian Coulson, area director at HSBC UK South Wales, added: “Mallows Bottling is an exceptional example of a company that has successfully navigated growth in the face of adversity during the pandemic by identifying a market gap and starting an innovative business.
“The funding from HSBC UK will not only fuel their success, but also create jobs and have a positive impact on the local community.”
Rhys Mallows and his father Andy founded Mallows Bottling & Beverages in April 2021, after identifying a market gap in which beverage bottling was in short supply. It produces its own spirits under the Charlie Parry’s, Rummers and Mallows brands as well as white label drinks for customers across the UK.
Meanwhile, plastic free and plant-based chewing gum brand Milliways has secured £3m in funding to further propel its growth.