JLR supplier secures £1m funding deal from Finance Birmingham

A COMPONENT supplier to Jaguar Land Rover has created dozen new jobs and safeguarded a further 56, after securing a £1m national tooling loan from Finance Birmingham.
 
Magal Engineering, which designs and manufactures automotive components for OEMs such as JLR, Ford and Daimler, secured the loan after winning a contract to supply parts for engines manufactured at JLR’s new £500m plant at i54 in Wolverhampton.
 
To operate at full capacity for the contract, Magal required finance for a suite of tools, the cost of which would be reimbursed by JLR once full production began. The loan supplied by Finance Birmingham ensures the company has the initial funds to obtain the correct tooling for the contract.

The money was supplied from the national £24m Tooling Funding Programme, which is part of the Government’s Regional Growth Fund and is delivered by Finance Birmingham.
 
Magal’s CEO Gamil Magal said: “Magal’s ability to supply components to Jaguar relied on our ability to acquire new tools and take on more staff. Finance Birmingham’s loan will enable us to deliver this contract efficiently and on time. This is a new step forward for Magal, which will help us to realise our future as an integral part of the UK’s growing automotive sector.”