Done Deal: Simpsons Malt

The Ingredient for Growth

 



£90,000,000

Revolving Line of Credit

Malt Producers & Agricultural Merchants

Financing Event:  Growth
PNC Deal Leader: Alistair Hood

The Company: Independent and Family Owned

Established in 1862, Simpsons Malt is an independent, fifth generation family-run business, dedicated to producing malts of the highest quality for the production of beer, whisky and food products. From grain to glass, its malts are certified and fully traceable, produced only from 100% certified seeds of the finest UK two-row barley procured by the company’s agricultural merchanting division, McCreath Simpson & Prentice (MSP). In the past 20 years, Simpsons Malt has supplied companies in more than 35 countries and its two maltings in Berwickupon- Tweed, Northumberland, and Tivetshall St Margaret, Norfolk, combine to produce more than 300,000 tonnes of malt each year, while employing close to 300 people.

The Deal: Leadership and Acquisition

The company is one of the UK’s key producers of malt. As part of its strategic aim to consolidate and extend its market position within the malt supply chain, Simpsons Malt wished to secure a committed Asset Based Lending (ABL) facility which would support its future growth plans and, in particular, underpin the strategic acquisition of a grain storage and merchanting business.

The Achievement: The Ingredient for Growth

PNC instinctively understood the business and delivered the entire facility, providing certainty around both the structure and ultimate delivery, from the beginning to the end of the process.

It was clear from the start that PNC understood our needs by delivering a proposal that provided clarity on terms, structure and duration. The speed and quality of response was impressive and ultimately our decision was very straightforward. The time that PNC, at all levels of the organisation, invested in making sure they understood and were aligned to our ambitions was very evident and this underlined to us a desire to build a long-term partnership. Refinancing an ABL facility is never straightforward but throughout the process the team at PNC kept us informed, maintained a pragmatic approach throughout and ultimately delivered a facility that remained true to the initial proposal.

Graeme Hogg | Finance Director, Simpsons Malt

Important Legal Disclosures & Information

*A portion of the funding provided by Steel City Capital Funding, a division of PNC Bank. Steel City Capital Funding provides Cash flow-based senior debt, junior secured and second lien loans for sponsored and non-sponsored transactions. 

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