Arbuthnot Commercial ABL supports Newable Capital with a £6.8m funding package

By Bridging Loan Directory 13th July 2022

Arbuthnot Commercial Asset Based Lending (ACABL) has supported the financing of Commercial Maintenance Services UK Limited (CMS), one of the UK’s leading specialist facilities and commercial building maintenance companies.

Newable Capital invested in the business in April 2022 with the intention of refinancing a portion of its investment post-transaction.

Arbuthnot Commercial ABL structured and delivered the comprehensive £6.8m funding package, which comprised an accounts receivable line, a cash flow loan, a Recovery Loan Scheme (RLS) term loan, and a property loan.

Founded in 2000 in the North-East of England by brothers and experienced engineers Nic and Neil Smith, CMS now directly employs over 190 employees nationwide.

Based in Gateshead, the business operates 24/7, 365 days a year, specialising in the installation, maintenance, and repair of business-critical systems, including heating, plumbing, electricals, air conditioning, catering equipment, and renewables.

For Newable Capital, this represents the 6th strategic investment in successful businesses working at the heart of the UK economy.

Newable Capital forms a key part of Newable, the leading provider of workspace, money, and advice to SMEs, established in 1982. The business provides patient capital to help profitable, well-established UK SMEs through their growth journey.

Peter Barrand, Managing Director, Newable Capital, said:

“The team at Arbuthnot Commercial ABL went out of their way to make sure that they understood the business and made it clear that they wanted to do the deal.

While all lenders tend to be responsive pre-deal, we could see their commitment to carrying this through into the relationship following the transaction.

With Arbuthnot, you have a direct line into the decision-makers without additional layers of committees or complexity.

Their ability to provide a wide range of complementary funding options allowed them the flexibility to structure a deal to match the requirements of the business, as well as the opportunity of supporting future bolt-on acquisitions.

We have been looking for a commercial management business for some time and were attracted to the culture of CMS, the essential nature of the services, the strong recurring client base and the opportunity for the business to be at the forefront of environmental change.

We are delighted to be working with Arbuthnot to ensure that the working capital is available to fund business growth.”

Andrew Rutherford, Commercial Director, Arbuthnot Commercial Asset Based Lending, commented:

“We are very pleased to support Peter, the Newable team, and CMS with a tailor-made, multi-product funding solution structured to spur innovation and continued scale.

This is a prime example of how we can work with investors post-transaction to generate working capital for growth organically and via acquisitions, enabling businesses to thrive.

We look forward to supporting the team’s exciting plans.”