Done Deal: Hovis

The business was founded on quality and innovation when Richard ‘Stoney’ Smith changed the way flour was milled by finding a way to separate the wheatgerm from the flour without losing any of the vitamins or minerals. The brand has since become famous for iconic and heart-warming advertising; including the ‘Boy on the Bike’ commercial, directed by Sir Ridley Scott. Today, the business delivers over 1 million loaves every day of the week.

In support of Endless LLP’s acquisition of Hovis from The Gores Group & Premier Foods plc, PNC provided a £60M revolving line of credit to provide ongoing working capital and headroom for continued growth and CapEx in production capabilities.

Richard Harrison, Investment Director at Endless LLP, said: “PNC pulled out all the stops and matched us at every step on the deal as they mobilised their team, working evenings and weekends to ensure the transaction was delivered to our timescales. They worked closely with the deal team to understand the forecasts and funding requirements, and structured an appropriate package that would support investment in CapEx and provide the necessary headroom to fuel the new product development and growth plans of the business. They were very pragmatic, easy to work with and executed the deal with speed and certainty.”