A company that specialises in supplying valves to power stations has secured a six-figure loan to enable it to boost stock levels and expand its business.
ValvePro has secured the funding from NPIF II – Mercia Debt Finance, which is managed by Mercia Debt as part of the Northern Powerhouse Investment Fund II (NPIF II). The Huddersfield company plans to increase revenue by 80% and create six new jobs over the next five years.
ValvePro serves power stations and waste to energy plants throughout the UK and Europe. It supplies mainly US or European-made products including valves, actuators and instruments and offers expert advice on product selection as well as after-sales service and maintenance. Founded in 2015, the company has grown revenue by a third over the past two years and currently employs 12 staff.
Roger Griffin, co-founder and Managing Director, said: “Power plants operate under high pressure and valves play a critical role in their operation. Demand for valve replacements has grown as operators have extended the life of existing power plants, however due to tight construction budgets, even new plants can often benefit from fitting superior products.
“The funding will enable us to increase stock levels to ensure we have the right parts at hand and can provide a rapid service, and invest in new maintenance equipment as part of our aftermarket growth plans.”
David Wright of Mercia Debt added: “Roger and the team are passionate about valves and have built a reputation for their expertise. As demand for power increases, the need for their services is likely to grow. The loan will help them expand the business and continue their role helping to keep the UK’s power plants up and running.”
Sarah Newbould, Senior Investment Manager at British Business Bank, said: “It’s great to see NPIF II supporting industry specialists like ValvePro as they continue to grow and strengthen their offering across theNorth. Businesses like ValvePro play an important role in supporting critical infrastructure and supply chains. We look forward to seeing the business continue to grow as it increases capacity, creates jobs and builds on its strong reputation in the sector.”
Jamie Westwood of Tudor Commercial Finance provided fundraising advice to ValvePro.
The £660m Northern Powerhouse Investment Fund II (NPIFII) covers the entire North of England and provides loans from £25k to £2m and equity investment up to £5m to help a range of small and medium sized businesses to start up, scale up or stay ahead.
The purpose of the Northern Powerhouse Investment Fund II is to drive sustainable economic growth by supporting innovation and creating local opportunity for new and growing businesses across the North of England. The Northern Powerhouse Investment Fund II will increase the supply and diversity of early-stage finance for the North’s smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance.