Electronics manufacturer Surface Technology International is targeting revenue growth of more than 15 per cent next year after securing a new £11.5m financing package from Lloyds Bank Commercial Banking.
The agreement provides STI with increased funding compared to the facilities provided by its previous banking partner, and will support the company’s growth strategy in the commercial aerospace and defence, medical, oil and gas and industrial sectors.
The new funding package includes a trade finance and letters of credit facility, which gives STI the opportunity to negotiate more favourable terms with overseas suppliers in return for earlier payments.
It also includes term loan and asset finance facilities to fund future capex projects for the firm, which was founded in 1989 and now employs 600 staff in the UK and the Philippines.
Simon Best, STI’s founder and managing director, said the new funding arrangement gives it the headroom and flexibility to invest and grow its proposition.
“The need for mission critical manufacturing capabilities in commercial and industrial markets is sustaining strong demand for our services. Our fully comprehensive offering, from design through to final assembly, means that we can provide a high quality service to companies operating in these sectors,” he said.
Scott Kenward, business development director at Lloyds Bank Commercial Banking added: “During the challenging economic conditions of the last few years STI’s management team has continued to deliver growth. The new funding will help them to capitalise on new opportunities, particularly in overseas markets.”
