100 year-old urban regeneration firm gets £40m room to manoeuvre
URBAN regeneration business MJ Gleeson has agreed £40m in funding from the banks as it seeks to grow.
The 100 year-old Sheffield firm received the funding from Lloyds Bank Commercial Banking as it expands with a new office in Liverpool.
MJ Gleeson specialises in brownfield construction in the North, and already has sites in Sheffield, Wakefield, Bury, Tees Valley and Chester-le-Street, employing 300 people.
The funding comprises of a £20m revolving credit facility and a £20m accordion. It will support the geographic expansion of the company to 50 sites.
The firm delivered revenues of more than £110m up to June 2015, up from £80m the previous year. It also recorded £11.3m pre-tax profit in the first half of its financial year , up from £3.9m on 2014/15.
Jolyon Harrison, chief executive officer at MJ Gleeson, said: “The renewed confidence in the housing market continues to build appetite for new homes in great locations. The support Lloyds Bank has provided will enable us to meet this upturn and to strengthen our position in the market.
“The team at Lloyds Bank has worked closely with us to understand our business plan and this funding will help us activate the next stage of our growth strategy with confidence.”
David Hunt, relationship director at Lloyds Bank Commercial Banking, said: “The new facility will give MJ Gleeson the flexibility to unlock value from its existing assets and invest in additional sites. We look forward to seeing the business add to its portfolio and create more homes for families across the UK.”
Dean Gormley, banking and finance partner at national law firm Irwin Mitchell, led the team that advised Lloyds Bank
