Luxfer agrees $150 million funding package to support growth

High performance materials and components manufacturer, Luxfer Holdings has agreed a new $150 million funding package, with a banking syndicate, to support its growth plans.

Salford Quays-headquartered Luxfer has increased the size of its revolving credit facility from £70 million to $150 million as it targets growth organically and by acquisition.

The business can also draw on an additional uncommitted $50m accordion facility if required.

Lloyds Bank’s North West-based Mid Markets and Strategic Finance teams led the banking syndicate, which also included incumbent lenders Yorkshire Bank and Bank of America Merrill Lynch, and new entrants RBS and Santander UK Plc.

Luxfer specialises in the design and manufacture of high-performance materials, components and gas cylinders. Its products are supplied to end users in a broad range of markets including healthcare, defence, automotive, aerospace and environmental technologies.

The firm employs more than 1,800 staff and operates 20 manufacturing plants in eight countries, and recorded revenues of $481 million and pre-tax profits of $47 million for the financial year ending December 2013.

Andy Beaden, group Ffnance Director at Luxfer Holdings, said: “Following our IPO in October 2012, this extended banking facility further strengthens our financial position and provides a solid platform for future growth.

“This larger and more flexible facility gives the Group considerable ability to further invest, both organically and inorganically, in its material and gas containment technologies.

“I was pleased at the strong support received from the expanded banking club for the Luxfer name, with the innovative linkup between Manchester and California bankers demonstrating Manchester and Salford are open for business on an international stage.”

Luxfer Group’s main legal advisers were Dickson Minto WS, with Frank, Harris, Shriver & Jacobson (London) LLP providing advice on US Law. The Banking Syndicate was advised by Manchester based lawyers Addleshaw Goddard.