Secure Trust Bank has extended facilities in the form of inventory and receivables finance to retail investors Calvetron Style Holdings, to back an acquisition and further investment.
The revolving line of credit came with a limit of £12.5m, and can either consist of an £8m inventory facility, a £7m receivables facility or a combination of the two.
Part of the funding was used to assist recently-formed Calvetron Style Holdings in the acquisition in June of Style Group Brands, which was facing administration.
Style Group Brands operated various womenswear brands across own outlets and in-store concessions. The deal saw the axing of 272 jobs and the closure of 24 outlets across the UK and Belgium. About 1,200 jobs were retained.
Sean Powell, national sales director at Secure Trust Bank Commercial Finance, said: “To be able to complete such a sizable facility within the retail sector supporting both the initial investment and ongoing growth of the business is extremely pleasing. It not only demonstrates the size and complex nature of facilities that we are now transacting, but with a turnaround time of one week it once again demonstrates the short timeframes in which we are able to operate.
“Following the acquisition, Style Group Brands has undergone a significant transformation, and now has the potential to become a conglomerate fashion group with a global reach. The company already has some household name brands in its portfolio, and with the direction of the team at Calvetron, we are confident it will continue to boost its profile both at home and abroad.”
Mick Welden, chief financial officer at Breal Group, which advised on the transaction, said: “The team at Secure Trust Bank were able to identify the needs of the business and provide funding that will help stabilise and enable future growth. The speed of delivery was particularly impressive, as given the nature of the deal, there was pressure to create a facility with the right structure in a short time frame. The team’s efforts have helped us secure the jobs of more than 1,700 people, as well as putting us in a strong position to achieve future growth objectives.”