ASSET-based lenders Centric Commercial Finance has provided a £6.5m funding package to Black Country metals manufacturer McKechnie Brass, enabling the business to come out of administration.
The deal, structured alongside UK private investment firm GIL Investments, is a welcome boost after the Aldridge-based company was placed under the control of administrators at Birmingham-based Sanderlings in July.
Centric devised a customised mix of invoice discounting, stock finance and a loan for the 60-strong business.
This new deal, which replaces a £2.5m arrangement agreed with Santander in August, has enabled unnamed backers to buy the business out of administration.
McKechnie Brass was established in 1871 and manufactures alloy metals for the automotive, electronics, energy and construction industries.
It is believed to be the last remaining brass extrusion business in the UK. Legal advice was provided by Harrison Clark.
Robert Crilly, commercial director at McKechnie Brass, said: “Our new funders worked very quickly to agree a deal to secure the future of McKechnie Brass and its employees and we are looking forward to working closely with our customers to deliver the high standards expected of a business with a proud history of manufacturing in the Midlands.”
Research clients, prospects and trends by searching TheBusinessDesk.com’s extensive story archive. Click here.
