Background
European Valuations was engaged by Arbuthot Commercial ABL (ACABL) to assist them in their potential financing of the acquistion and subsequent on-going funding of Newcastle Tool & Guage (NTG) who were acquired by Ignite Growth a UK-based investor focused on supporting the growth of ambitious and fast-growing companies.
Headquartered in Gateshead and founded in 1979, NTG is a precision engineering business that manufactures low volume, high value parts for use in Severe Duty Engineering Applications, that sees products operate in high temperature, high pressure or high stress environments. Its customers originate from a diverse set of markets, including oil and gas, food packaging, subsea, power generation and defence.
Our work encompassed conducting a pre-lend due diligence review of the accounts receivable and a plant & equipment valuation of the machinery assets for asset-based lending purposes. ACABL structured and delivered an asset-based lending facility and cash flow funding package to support the acquisition and on-going financing.