GE CAPITAL
Financial packages for growing UK businesses / Two plastics processors receive funding
Launched in the UK in March 1998, GE Capital Commercial Finance is enabling growing businesses to maximise their working capital in order to finance growth, acquisitions, new start-up costs, restructuring and management buy-outs and buy-ins. Similar operations exist in Italy, Germany and France, trading as GE Capital Finance.
GE Capital set up its commercial finance business in the UK (77 Mount Ephraim, Tunbridge Wells, GB-Kent TN4 8AR) as a result of extensive market research within its target markets. It says its aim is to provide a financial service that is market focused and solutions driven, unlike many existing factoring and invoice discounting services which are inflexible and slow to implement. Currently there are ten regional offices. All operate on the principles established by the GE parent in the US by providing funding on an on-going basis to ensure companies always maintain a positive cash position.
In September, GE Capital agreed an asset-based financing facility for a Welsh company, Cardinal Packaging, based in Ebbw Vale, Gwent. Cardinal was founded in 1990 and employs 58 staff in the manufacture and supply of plastic bags to the retail industry across Europe. The funding, from the new Cardiff office of GE Capital Commercial Finance, will help the company to expand its existing premises, hire additional staff and develop new growth opportunities.
In October, Skelmersdale-based Transform Plastics received a GBP 1.2m cash input, also in the form of asset-based financing, to be used for plant investment, working capital and to fund European expansion plans. Formed in 1993, Transform underwent a management buy-in in June this year and now employs 75 staff. It produces items such as garden furniture and fence panels and posts from recycled plastic waste. Managing director Paul Samuel believes the market for recycled waste, currently valued at GBP 60-70m annually, is set to grow 300% over the next three years as a result of the EU directive requiring the UK to recycle 15% of all packaging waste by 2001.
“The funding by GE Capital Commercial Finance is vital in putting us in an excellent position to capitalise on this and build on our leadership in the sector,” says Samuel.
GE Capital set up its commercial finance business in the UK (77 Mount Ephraim, Tunbridge Wells, GB-Kent TN4 8AR) as a result of extensive market research within its target markets. It says its aim is to provide a financial service that is market focused and solutions driven, unlike many existing factoring and invoice discounting services which are inflexible and slow to implement. Currently there are ten regional offices. All operate on the principles established by the GE parent in the US by providing funding on an on-going basis to ensure companies always maintain a positive cash position.
In September, GE Capital agreed an asset-based financing facility for a Welsh company, Cardinal Packaging, based in Ebbw Vale, Gwent. Cardinal was founded in 1990 and employs 58 staff in the manufacture and supply of plastic bags to the retail industry across Europe. The funding, from the new Cardiff office of GE Capital Commercial Finance, will help the company to expand its existing premises, hire additional staff and develop new growth opportunities.
In October, Skelmersdale-based Transform Plastics received a GBP 1.2m cash input, also in the form of asset-based financing, to be used for plant investment, working capital and to fund European expansion plans. Formed in 1993, Transform underwent a management buy-in in June this year and now employs 75 staff. It produces items such as garden furniture and fence panels and posts from recycled plastic waste. Managing director Paul Samuel believes the market for recycled waste, currently valued at GBP 60-70m annually, is set to grow 300% over the next three years as a result of the EU directive requiring the UK to recycle 15% of all packaging waste by 2001.
“The funding by GE Capital Commercial Finance is vital in putting us in an excellent position to capitalise on this and build on our leadership in the sector,” says Samuel.
15.01.2000 Plasteurope.com [17602]
Published on 15.01.2000