Leeds manufacturer secures £400,000 Saudi Arabia deal

Leeds-based manufacturer Meltog has secured a £400,000 Saudi Arabia deal.

The company has signed a deal with a major food processing and packaging group based in the country, which is says will “significantly” boost its revenues.

Meltog, which specialises in the manufacture of can-making and waste recycling equipment, with more than £2.5m of its turnover coming from exports.

Meltog received support from UK Export Finance and Lloyds Banking Group. It said manufacturing the machinery would create cashflow pressures, so had to explore its financing options.

UK Export Finance, the UK’s export credit agency, and Lloyds Banking Group worked together, with the latter providing a working capital loan of £90,000, supported by additional security provided by UKEF in the form of a guarantee under its working capital scheme.

Meltog was able to fulfil this major order at the same time as financing other business activities.

Meltog’s Julian Heyworth said: “The support of Lloyds Banking Group and UK Export Finance has been invaluable for us with our new customer in Saudi Arabia. Having financial flexibility can make all the difference when looking to secure orders and Lloyds and UK Export Finance working together have provided a solution that works for us.”

Paul Wright, export finance manager for Yorkshire, said:“We at UK Export Finance are very pleased to be supporting Meltog. UKEF is here to help businesses of all sizes and in all sectors realise their ambitions to sell overseas and this is a great example of UK Export Finance working with a bank to increase the level of funding available to help an exporter pursue export opportunities.”

Stuart Hodgson, Lloyds Banking Group, said: “Lloyds and UK Export Finance worked in partnership to provide Meltog with the funding required to support this opportunity. We look forward to supporting Meltog in the future as Julian and the team look to develop the business further.”