The Shilling Group has completed a deal for a 45-year-old Shropshire logistics firm.
Paragon Bank’s SME Lending division has facilitated a £2.75m funding solution to support Shilling Group’s acquisition of Telford-based Simmonds Transport.
The trading arm of Birmingham-based Shilling Group secured an invoice finance facility from Paragon, enabling the company to raise finance against Simmonds Transport’s debtor book from existing contracts, which it utilised to support the purchase and post-completion working capital.
Shilling Group is a specialist in delivering fully completed acquisitions for its clients and joint venture partners and also owns and operates its own trading arm, which includes businesses from a diverse range of market sectors.
Simmonds Transport Ltd, a logistics and warehouse storage business, was founded over 45 years ago and located in Telford. The company manages over 250,000 square feet of high-quality warehousing and operates a large commercial vehicle fleet.
The deal was led on behalf of Paragon by Steve Holmes, Senior Sales Manager for Invoice Finance.
Mr Holmes, Senior Sales Manager for Invoice Finance, said: “I am delighted to complete another transaction with Shilling Group.
“As a specialist invoice finance lender, we understand what is required to support a business acquisition and, through a close relationship with Shillling, we helped finalise the purchase of Simmonds Transport in the timelines required. The debtor book is a great way to help in a sale and purchase of a business, and one that is sometimes overlooked.”
Bart Walkerdine, Group Operations Manager for Shilling Group added: “Having an institution such as Paragon backing our Simmonds Transport venture has given us the ability and confidence to begin executing a £3 million program to increase the efficiency and reduce the emissions of the Simmonds fleet as part of our overall growth strategy for the business.”
Source: Shropshire Star
