UPVC Direct grows through acquisition
Earlier this spring, UPVC Direct acquired a South Wales family based business, Principality Plastics Warehouse.
UPVC Direct acquired the £9 million turnover company, retaining all 40 staff members in a deal that would allow for UPVC Direct's growth. They have an ambitious strategy focused towards scaling through acquisition and customer integration.
Development Bank of Wales
UPVC Direct utilised the Development Bank of Wales to assist in the funding of the acquisition. Development Bank of Wales has a mission to "unlock economic potential in Wales and enhance the local economy by providing sustainable, effective finance". DWB focuses on investing in business that are "more than just a good business model", looking at the bigger picture, aiming to invest in business that will allow for further growth within Wales.
DWB have three main goals
Deliver debt and equity funding with a social impact
Promote and advance a green future in Wales
Deliver excellence, customer-first, financial stability
It is great to see DWB actively investing alongside entrepreneurs based in Wales.
Funding for this acquisition is reported to of came from the £216 million Wales Business Fund, which is funded by the ERDF - European Regional Development Fund and the Welsh
Government along with the £25 million Wales Management Succession Fund that is financed by Welsh Government and Clwyd Pension Fund.
Wales Business Fund
This fund was specifically created to support businesses with fewer than 250 employees based in Wales and those willing to move there. The source of finance is designed to:
Provide business loans and equity packages from £50,000 up to £2 million.
Back start-ups, established small and medium businesses, and early-stage tech ventures
Support businesses across a wide range of sectors
The fund typically operates with deals between £50,000 & £2m, typically ranging between five to seven years. WBF do mention that it is a requirement of theirs that businesses are required to match their investment with other funds.
Conclusion
We are looking forward to seeing further funding by these excellent funding bodies. We also wish the directors of UPVC Direct all the best in their latest acquisition. It is our pleasure to share the latest acquisitions within our home country, we will be sure to bring you plenty more news articles.
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