United Tooling Solutions Ltd (UTS), a wholesaler of industrial tools and tooling equipment, is targeting significant growth across the UK thanks to funding from Shawbrook Bank.
The Exeter-based trading subsidiary of national buying group, Troy (UK) Limited, is aiming to increase its operations through multiple acquisitions.
UTS’ proposition incorporates broad-line industrial supplies distribution with inventory management, as well as bespoke design and manufacture services for special tooling.
It has secured a £10 million funding facility from Shawbrook as it looks to expand the business – specifically its distribution network – into the West Midlands, North West and Central Scotland.
The company already has six sites across the UK, including Bedford, Bristol, Bridgend, Derby, Devon and Dorset, and additionally has a comprehensive online operation.
The acquisitions of Barnes JB Ltd in Lancashire, ABT Machine Tools & Tooling Ltd in Glasgow and Kalem Ltd in the West Midlands will increase UTS’ footprint by 50% as they grow from 6 to 9 trading locations.
Dave Jackson, Managing Director at UTS, comments: “Although a relatively young organisation, we have a solid footprint already in the UK but are ambitious for this business and are looking to expand through acquisition across the country.
“After identifying a number of strategic sites, our key goal was to find a funder that would not only be capable and willing to finance three simultaneous acquisitions, but also provide us with confidence that they’d have appetite to support our business and growth plans in the future.”
The funding facility – a tailored Asset-Based Lending package incorporating confidential invoice discounting, inventory and property facilities – was agreed in the midst of the Covid-19 pandemic with the country on lockdown.
Breeze Corporate Finance led the fund raising, with UTS being advised by Paul Bevan and Nigel Winkett.