Left to right: Jonathan Craig, Finance Yorkshire Investment Manager with Stephen Dowe, Director of Arvensis
Plastic packaging manufacturer Arvensis and sister company food plastic manufacturer PFF, recycles plastic bottles into plastic sheets and packaging for the food, healthcare and cosmetics industry.
It supplies packaging to high profile clients including Morrisons, ASDA and Marks & Spencer and is based in Airedale Park in Keighley.
Arvensis was looking for a business loan to finance working capital following a huge hike in the price of plastic.
Joint Managing Director Stephen Dowe said: “Due to the rise in plastic prices we were short on working capital to fulfil our substantial order book and operating at a reduced level.
“Our depleted working capital was restricting our growth and we needed a financial kick”.
Finance Yorkshire provided a £150,000 business loan which meant the company could satisfy its order book and look with confidence to a strong future.
Commenting on the relationship with Finance Yorkshire Joint Managing Director Stephen Dowe said: “Our Investment Manager, Jonathan Craig saw how our business had been affected by the rise in plastic prices and the reasons why it would not impact on trade going forward. He was extremely supportive. The relationship we built up and the knowledge Jonathan took on board meant he could make a proper and considered decision by seeing where our business was.”
The Investment Rationale
The company, which has a turnover of £15m, has previously invested £1.25m in new plant to double the production capacity of manufacturing recycled PET (Polyethylene Terephthalate) sheet and had a strong order book from high profile clients. Depleted working capital was restricting future growth.
Finance Yorkshire Investment Manager Jonathan Craig said: “This company produces specialist products that it uses within the group and that it also sells externally. It has made significant investment in the manufacturing process which will allow it to grow strongly and remain at the forefront of its sector.”
Now, thanks to the £150,000 business loan from Finance Yorkshire, the company is looking to secure new orders.
Joint Managing Director Stephen Dowe said: “The important role that packaging plays cannot be understated. In recent decades, packaging developments have been a catalyst in broadening retail ranges, giving us a variety of consumer goods that previous generations wouldn’t have thought possible.
“Now, with the huge steps that we have taken in plastic film extrusion and thermoforming technology, we can continue to deliver the most sustainable packaging solutions to some of Britain’s best known retailers.”
- Arvensis (Acrobat .pdf 610KB)