Investment secured for fire protection and insulation products supplier

ARC Building Solutions, which manufactures and supplies cavity fire barriers and cavity closers, has secured significant new investment from lower mid-market funder Beechbrook Capital.

Leeds-based ARC was founded in 2008 and is a specialist provider of fire protection and thermal insulation products to the national construction market.

Beechbrook, alongside existing investor Newable Capital, are backing the management team – led by managing director Neil Weeks – to continue to build on the strong success of the business to date.

The investment will underpin a three-year strategic capex programme that will enable a move towards further automation and digital manufacturing systems.

At the same time ARC will continue to launch new products into the thermal and acoustic markets, while growing its exposure and market share in both low rise and high-rise sectors.

Weeks said: “The Beechbrook investment in ARC will enable the next stage of growth by investing in our manufacturing process, looking at new product innovation and expanding our core markets, while continuing our successful partnership with Newable Capital.”

Peter Barrand, managing director at Newable Capital, said: “We are pleased with the investment from Beechbrook as we continue to drive the exciting next stage of growth and innovation, alongside the ARC leadership team who we have worked closely with for the last three and a half years.”

Beechbrook Capital is a specialist lender providing loans and minority equity capital into SMEs across the UK and Europe.

Jake Taylor, associate director at Beechbrook Capital, said: “We have been thoroughly impressed with what Neil and the team have achieved at ARC in recent years, and are pleased to join Newable Capital in supporting the business on the next phase of its exciting growth journey.”

Momentum Corporate Finance acted as lead advisor on the transaction, with CMS Cameron McKenna Nabarro Olswang LLP providing legal advice to Newable Capital. 

Beechbrook Capital were advised by Pinsent Masons (legals), Cortus Transaction Services (FDD) and Muckle (LDD).