Bank of Scotland has provided a GBP36 million finance package to UK company Heavy Machinery Group Ltd. This facilitates an exit for 50% shareholder Alchemy.
The bank package comprises institutional loan stock, senior and mezzanine debt and a working capital facility. The Scottish bank is also subscribing to a minority stake in the fully diluted equity share capital of Heavy Machinery.
The company has a turnover of around GBP90 million with ten depots around the UK. It was the subject of an MBO in 1993 and in 1999. The latter was backed by the Bank of Scotland and Alchemy.