Arbuthnot Commercial Asset Based Lending has structured and delivered a £12 million asset based lending facility to support Sullivan Street’s acquisition of ISS Facility Services and its growth plans.
The new business will be called Tivoli Group Limited.
The transaction has delivered funding towards the purchase consideration, as well as providing on-going working capital to drive growth. The lending facility incorporates both a plant and machinery term loan and a revolving confidential invoice discounting line.
The deal comes just two weeks after Arbuthnot Commercial ABL announced details of its first transaction, with OSET bikes, which was completed ahead of schedule.
Tim Hawkins (pictured), managing director of Arbuthnot Commercial ABL, said: “Our ability to understand the business objectives and the assets, as well as our speed and certainty of execution, were integral to this transaction.
“Asset based lending has come to the fore in this transaction as it offered the ideal vehicle to create the substantial funding needed to enable the acquisition, and to provide the headroom necessary to fuel business growth.
“We’re passionate about establishing long-term partnerships and we wish Sullivan Street and the management team of Tivoli Group every success for their future growth.”
Layton Tamberlin, Sullivan Street Partners director, added: “We were impressed with Arbuthnot Commercial ABL and confident they were able to deliver against the deadline. The key factors were; their pragmatic approach to diligence, which enabled a quick and efficient final credit approval; and a lean team that enabled rapid KYC processes, credit reviewal and account opening.
“Looking forward, given their expertise, speed and ability to deliver, we see Arbuthnot Commercial ABL as a future partner with which we will look to continue to raise asset backed finance.
“Tivoli has huge potential that, with our attention, a little growth and a good funding structure, should deliver a fantastic business that is an exemplary employer and delivers beautifully managed grounds across the UK.”