Gardner Aerospace has gained a £35 million asset-based lending (ABL) funding package from the Royal Bank of Scotland (RBS) to support its expansion.
The aircraft component manufacturer, which has clients such as Airbus, Rolls-Royce and GKN, will invest the money at its UK manufacturing sites in Derby, Pershore, Hull, Basildon and Broughton.
Chief financial officer Tony Millington said: “The aerospace sector is a competitive environment, so it is important to have bank facilities that can support our growth.
“The ABL structure increases funding in line with our receivables and inventory, and this helps us to meet our client’s requirements for greater efficiency, investment in R&D and, of course, meeting the demands for new aircraft such as the Airbus A350.”
Andrew Garvey, director of manufacturing and aerospace at RBS, said: “Gardner Aerospace has proved that it can compete and succeed in a very challenging sector, and we are very pleased to support its growth.
“The aerospace industry is a major contributor to the UK’s economic output, and it is central to our competitive position in what is now a global manufacturing market.
“This makes it vital that home-grown businesses such as Gardner are well supported to maximise the opportunities that come from a broad and diversified product range and client base.”
Gardner Aerospace was established in the 1950s; it currently employs 650 people in the UK and 1,400 globally.