Packaging firm wraps up £1m deal for premises acquisition

A supplier of process and packaging solutions has purchased rented premises in Retford after sealing a deal for a £1m commercial mortgage.

Originally part of the Moody Group, which was founded by Paul Moody in 1975, Moody Direct was formed in 1996.

The business is a leading supplier of process and packaging solutions to the dairy, food, beverage, brewery, ice cream, chemical and pharmaceutical industries with a large customer base in the UK, Ireland and around the world.

In early 2016, Paul Moody handed over the reins to David Tomlinson and Ken Wild following a management buyout (MBO).

With the support of Barclays, David and Ken have acquired their rented premises on West Carr Road from the previous owner’s pension fund, following an option as part of the MBO.

Moody Direct employs more than 80 staff with a turnover expected to reach £17m this year.

Tomlinson said “We’ve banked with Barclays for over 20 years because of their focus on relationship management, their understanding of our business and their willingness to help us realise our full potential. The last five or six years have been incredibly exciting and rewarding, with the business almost doubling turnover since the MBO. The depth and range of knowledge and support our 80-strong team provide is unrivalled. Investment in our plate heat exchanger division has also allowed us to expand our offerings outside of our traditional hygienic sectors into industrial industries such as oil and power generation.

“Whilst the last couple of years have inevitably been challenging, we’re proud to continue supporting the critical industries with essential products and services and acquiring the rented premises is another step forward to enable us to take this business to the next level. We look forward to tackling the challenges and opportunities over many years to come.”

Alastair West, Barclays relationship director, put together the funding package for the deal and said: “Over the decades, as the market has evolved, Moody’s business model has proved very successful and allowed for expansion into projects, service and the distribution of parts and components. With David and Ken at the helm of a team of long serving, committed, talented employees, the future looks bright for this ambitious business and Barclays look forward to supporting them along the way.”