BLACKBURN, ENGLAND — To support its future growth initiatives, BBF has procured a $52 million (£40 million) loan from Wells Fargo Capital Finance.
The three-year financing facility will provide the U.K.-based dessert manufacturer with working capital as well as funds to invest in its operations.
“The facility provided by Wells Fargo gives the business extra firepower to make further investment in all of our manufacturing sites and to deliver on our strategic growth plans,” said Jonathan Lill, chief executive officer, BBF. “Wells Fargo demonstrated great appetite throughout the process to support the business and we’re excited to have secured this new funding facility.”
BBF produces a variety of licensed and in-house branded cakes, pies and tarts at its five manufacturing sites in England and Poland. It supplies food retailers such as Tesco, Sainsburys, Asda, M&S, Aldi and Lidl. Last year, BBF acquired Greencore P.L.C.’s ambient cake and chilled desserts division, which boosted the bakery’s annual revenues to more than $195 million (£150 million).
Andy Pickford, director of debt advisory at FRP Advisory, which provided guidance to BBF, said the bakery is at the forefront of investment for mid-market corporations in the U.K.
“There was significant interest from the finance community for this transaction, and the terms offered and underwritten by the team at Wells Fargo will now allow the management team at BBF to execute their exciting three-year plan,” he said.