South Wales-based Brickability Group has expanded its business portfolio through the acquisition of five companies after receiving a £40m funding package from a banking syndicate led by Lloyds Bank Commercial Banking.
The Bridgend-headquartered company has added Crest Brick and Roofing, a specialist brick and roofing tile importer, Crown & Roofing Services, a fix and supply roofing firm, Towelrads, the UK’s leading supplier of towel rails and designer radiators, FSN Doors, a supplier of high-quality doors, and Fraser Simpson, a specialist timber, aluminium and UPVC window provider, to its portfolio of businesses.
Brickability is the market leading supplier of facing bricks, blocks, cladding systems, roof tiles and masonry to the UK Construction sector.
The group made the strategic decision to acquire the companies to increase its accessibility to vital products and materials. It is expected to boost its turnover by 50 per cent as a result of the purchases.
Lloyds Bank Commercial Banking acted as the lead arranger in a deal with AIB Bank, with each funder providing £20million of facilities.
The acquired companies will maintain their individual branding but will become part of the wider Brickability Group, which already includes five other building supply companies.
Simon Mellor, managing director at Brickability Group, said: “There is currently a shortage of quality, affordable building materials in the UK, which means the construction sector has to import an ever-increasing number of products from overseas. Acquiring these businesses allows us to tap into their expertise and established network of suppliers and contacts, while strengthening our own relationships with key manufacturers in the Eurozone and beyond. Throughout the process we were impressed with the knowledge and dedication of the team at Lloyds Bank. The team has supported us for a number of years, and, as a result, has a very good understanding of our company, sector and strategic objectives. This knowledge and understanding was key to arranging a funding package that exactly suited our needs.”
Paul Williams relationship director at Lloyds Bank Commercial Banking said: “Brickability Group is an ambitious company that is constantly looking for opportunities to expand and improve its product offering and service levels to its clients. The construction sector is an essential building block in the UK’s economy and it is vital that firms can access the tailored funding they need to grow and prosper. That’s why at Lloyds Bank we have a network of relationship directors that understand the challenges that mid-size firms in the sector face and are able to provide the specialist guidance that they need to thrive.”