Future hots up for foundry following equity investment
3rd February 2014
One of the UK's leading independent foundries is well positioned to enjoy new levels of growth following a £750,000 Equity Linked investment from Finance Yorkshire.
Doncaster-based Noel Village will use the cash injection to invest in new heat treatment facilities, which will ensure shorter lead times for customers. The firm is one of the UK's leading low-volume stainless and high-alloy steel foundries, and its products are used by valve and pump manufacturers around the world. A family-owned business established in 1980, Noel Village has progressed from casting carbon steels for mining and engineering purposes to high specification steels for the oil, gas and nuclear industries. The funding from Finance Yorkshire means that the business will no longer have to sub-contract heat treatment works and will instead be able to complete the process in house. In addition, Noel Village has further strengthened its management team by appointing former Sheffield Forgemasters Chairman and Chief Executive David Fletcher as Non Executive Chairman. Noel Village Managing Director Richard Edwards said: -We believe the future belongs to businesses which understand that quick turnaround and great service are priorities. Investing in heat treatment facilities means that customers will benefit from faster lead times, and we will be better positioned than ever to supply increased specification castings to the entire energy sector. Finance Yorkshire Investment Director Paul Gower said: -This is a good opportunity for Finance Yorkshire to invest in an established family firm which has ambition to grow and is willing to strengthen its management and undertake significant investment. Begbies Traynor provided corporate finance advice and legal advice was provided by hlw Keeble Hawson. Finance Yorkshire provides seedcorn, loan and equity linked investments, ranging from £15,000 to £2m to help a range of small and medium sized businesses to meet their funding requirements for growth and development. The project is supported financially by the European Union. It has attracted £30million investment from the European Regional Development Fund (ERDF) as part of Europe's support for the region's economic development through the Yorkshire and Humber ERDF Programme, £15million from UK Government and £45million match funding from the European Investment Bank. For more information about Finance Yorkshire, please visit www.finance-yorkshire.com or call 0845 649 0000.