Commercial vehicle specialists Asset Alliance Group has extended its asset-based lending (ABL) facility by £70m, taking its full facility to £145m.
The Group first obtained a £75m revolving ABL deal in 2016, led by NatWest and supported by HSBC: the credit line extension has been provided this year from Clydesdale Bank and Shawbrook Bank.
Chief financial officer, Douglas McArthur, said: “We have always had ambitious growth plans and by extending this fund so significantly we are able to buy more assets and serve more customers than ever before.
“The original deal in 2016 allowed us to really accelerate our growth plans. This new investment will allow us to go up another gear.”
He adds: “Having support from four different banks, at the level we have secured, demonstrates the confidence there is in our business. Asset Alliance Group is developing as a major player in the UK market and we have the ability and infrastructure to grow and meet demand.
“We are now exploring opportunities with the banks to develop the funding even further.”
Head of NatWest Asset-Based Lending, South and Midlands, Emily Makinson, said: “The Asset Alliance Group continues to grow from strength to strength, expanding its high-quality customer and asset base in a very competitive marketplace, and we are delighted to continue our support as it enters the next stage of its journey. Successfully doubling the size of its facility in two years speaks volumes for the high regard that the business and management are held in.”
Based in Wolverhampton, with depots in Ringwood, Hampshire and Newmains in Scotland, Asset Alliance Group manages more than 4,000 vehicles.
In January 2016, the Group acquired specialist bus and coach finance broker Forest Asset Finance.
The deal, which was put at seven-figures, provided a foothold in the bus and coach sector.
Formed in 2011, Forest employs over 80 members of staff and the group said its lending following its latest acquisition is expected to reach £85m, with the promise it would make more acquisition in the future, according to the statement.