RSK secures £33m of funding

NORTH West-based RSK Group, the UK’s largest privately owned environmental consultancy, has secured a £33m long-term investment loan provided by a fund advised by Permira Debt Managers.

The financing is likely to enable the creation of  up to 200 more jobs, in the long term, in the 1,000-employee company.

It will also allow RSK Group to continue our support UK projects such as the nuclear power station in Anglesey and support global projects such as the Trans-Adriatic pipeline

PDM’s direct lending fund Permira Credit Solutions II will act as sole lender to RSK to support its continued international expansion.

The loan – which was arranged by Dow Schofield Watts Corporate Finance – will be used to convert existing amortising debt into a flexible bullet repayment loan and provide additional funding to enable the business to continue its growth into new markets across the UK and EMEA.

RSK advises clients across all sectors, both public and private, helping businesses comply with environmental, health and safety regulations. Its scientists and engineers work on projects all over the world, investigating land and buildings and solving environmental problems.

Its chief executive Alan Ryder – who spearheaded the refinancing project – founded the company 25 years ago when he was a student at Aberdeen University.

The company’s headquarters are in Helsby, near Chester, and offices in more than 20 countries. Its annual turnover is now almost £100m.
 
Over the last two years, sales and profits have grown by almost 50% as the company has invested substantially in Europe and the Middle East, with a new fully equipped and internationally accredited laboratory set-up near Basra, Iraq, and business acquisitions in Germany and Hungary. RSK’s operations have also expanded in response to growing market demand in the construction, power and infrastructure sectors.
 
Ryder said: “We’re delighted to have secured this financing and to have expanded our operations.

“The financing will allow us to grow further, for example we plan to recruit geology and engineering graduates into our training programmes to specialise in growth areas such as nuclear decommissioning and geomatics, creating more jobs across the UK.

“I am really pleased that we have created 200 new jobs in the last two years, and that much of our success comes from export. Our UK sales have grown by almost 30% over two years, and our international sales have grown by 100%.
 
“The financing will also allow us to continue our support for UK projects such as the nuclear power station in Anglesey and for global projects such as the Trans-Adriatic pipeline, making sure that major infrastructure and energy developments are carried out to the very highest environmental standards.
 
“Iraq, East Africa, CIS and Western Europe remain key areas for the global expansion of our business”.
 
Dan Hatcher, investment director at Permira Debt Managers, said: “We are very impressed by what RSK have been able to achieve over the past 25 years from their own resources.

“The company has reached a position of strength in the European environmental and engineering consultancy market and we are delighted to be partnering with them to support their next phase of growth.”

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