ilke Homes raises £100 million
Yorkshire-headquartered ilke Homes has raised a record-breaking £100 million from new and existing shareholders following successive years of triple-digit growth.
The round is being led by funds managed by affiliates of Fortress Investment Group LLC (Fortress), a global investment manager with approximately $46 billion of assets under management.
Existing investors TDR Capital and Sun Capital also subscribed to ilke Homes’ latest fundraising round, which was arranged by investment bank Citigroup and acts as a rare example of a company increasing its valuation as global stocks remain under pressure from the continued macroeconomic and geopolitical uncertainty.
The new funding – the largest-ever raised by a UK modular housebuilder – will be transformational for ilke Homes. It will help the company to significantly scale-up its operations and open a new manufacturing facility that, once operational, will increase the company’s output capacity to 4,000 homes a year, creating over 1,000 new jobs in the UK.
The investment will also allow the company to invest heavily in automating more of its manufacturing processes to further drive productivity. This will in turn enable ilke to secure more sites and expand its ‘package deal’ strategy, which offers full development service of land, infrastructure and homes in a rapidly growing market.
The company, which has seen revenue grow by over 150 percent year-on-year, is already working with some of the UK’s biggest developers and investors, including global asset manager Man Group, FTSE 250-listed housebuilder Vistry Group, and housing association Places for People. Despite being founded just five years ago, ilke Homes is now delivering over 1,000 homes a year and has secured a pipeline of over 4,000 homes, putting it on par with some of the UK’s biggest housebuilders.
Rahul Ahuja, co-head of European Credit at Fortress Investment Group, said: “We are excited about our investment in ilke Homes. We see ilke Homes as the UK market leader in the manufacturing of modular housing and believe the company is uniquely positioned to increase the availability of high quality affordable housing in the UK while accelerating the transition to net zero.”
Jonathan Mitchell, partner at TDR Capital, an existing investor in ilke Homes, said: “The success of ilke Homes’ capital raise in the context of the difficult current funding environment is testament to its innovative business model and dedicated management team. Having achieved triple digit growth across the group for successive years, ilke Homes is strongly positioned and capitalised to deliver in a market with strong long term fundamentals.”
Giles Carter, CEO at ilke Homes, said: “Our latest fundraise demonstrates that the private sector is increasingly recognising the investment case for change. With the race to net-zero well and truly underway, the next few years will be a decisive time in the history of housebuilding, so it’s important that true market disruptors are empowered to play a leading role.
“Having pioneered a zero-carbon, zero energy bills solution in partnership with Octopus Energy and Gresham House, the new monies will allow us to roll out our proven concept across the country and shield consumers from the cost-of-living crisis. By investing to increase our manufacturing capacity, we will also create hundreds of skilled, green jobs.”
Yorkshire direct mail innovators win industry award for charity campaign
Huddersfield-based direct mail provider, Propack, has scooped an industry-leading award for its work for charity Christians Against Poverty (CAP).
Propack was crowned winner of the Web-to-Print Award at the Digital Printer Awards which were held in London.
The direct mail specialist was recognised for its work with the charity which aims to combat poverty and provide support to those struggling financially. The team was tasked with creating an on-demand storefront to print solution that would allow CAP’s nationwide network of coaches to be able to personalise and print the necessary collateral they require.
Propack’s solution resulted in over 4,500 users being onboarded, with circa 2,500 orders being processed since September 2021.
As a result, Propack was able to resolve CAP’s issues around a lack of regulation of key brand elements, including colours, logos and fonts, leading to more consistent brand messaging for the charity.
The Digital Printer Awards are recognised as one of the industry’s most highly prestigious celebrators of the excellence of the UK digital printing industry.
The award win highlights Propack’s growth and successes over the last year, including a £2.7m investment into new technology and equipment for its site, as well as its work within the third sector with Christians Against Poverty and other clients.
The business has also achieved a 21 per cent increase to its seven-figure annual turnover after winning 20 new clients since January 2022.
Managing director of Propack, Jason Clough, said: “I am incredibly proud of the team for delivering consistent and impressive results that have helped CAP develop such a revolutionary change within their business structure.
“We were up against tough competition which makes the win all the sweeter, it was a fantastic experience to be among other firms doing incredible work in our industry.
“Receiving this award proves the hard work of our team really pays off, both in making a big impact for our clients and providing solutions that ripple out and help so many people. We are so grateful that our efforts are recognised by the prestigious Digital Printer Awards.”
A representative from CAP said: “We knew we needed to improve the situation with our field user requirements and had set out a wish list – it has been fantastic that Propack have been able to achieve our requirements and so much more.
“All our users have differing requirements, and so being able to assign and manage budgets for each user in the Propack storefront is a huge benefit to us.”
Testing processes to protect the Humber Estuary
Associated British Ports (ABP), in partnership with cross sector stakeholders, successfully completed its annual Humber Oil Spill Incident Management Exercise (HUMEX) during November.
The exercise works to test the processes involved in managing an oil spill within the Humber. ABP is the Statutory and Competent Harbour Authority for the Humber Estuary and is responsible for ensuring the safety of marine operations within the ports and estuary. As part of its duty of care to the Humber, each year ABP Humber conduct an Incident Management Exercise to test the Oil Spill Contingency Plan “Humber Clean”.
The oil spill scenario was simulated on the release of approximately 5mt of DERV, east of the Immingham Oil Terminal, due to the rupture of an 80k litre road tanker at an adjacent site which entered the Estuary via the North Beck Drain. As in previous years, this was a fictional scenario used by the team and was not based on any actual incidents at the port.
Marine Response Centre team leaders worked on individual responsibilities to move through the exercise, testing the many processes in place to ensure a quick containment and management of the scenario.
As a first response to any notification of an oil spill, ABP Tier 1 teams can be deployed to tackle the spill. Adler and Allan operate as Tier 2 contractors for ABP, and upon their arrival would support the incident management team with containment and clear-up operations.
This training opportunity enabled ABP’s Marine Response Centre located at Grimsby Port Office to test many aspects of incident management including communications, ‘Send Word Now’ for cascaded alerts, and on this occasion, a limited management structure within the OSCP plan.
A full communications check was completed by ABP with organisations such as the Humber Emergency Planning Services, Environment Agency and the MCA and a live test spraying was conducted by the Pilot Launch Humber Venus to ensure that we fulfil our responsibilities within MCA guidelines.
Paul Bristowe, Head of Marine for ABP’s Humber ports, said: “HUMEX provides an ideal opportunity to test the team and processes to ensure we have a safe and effective oil spill response at high readiness on the Humber.
The Humber Estuary is an important place and holds many designations for the habitats and wildlife, both resident and migratory, that can be found here. It’s also a busy industrial area. The exercise is a vital piece of protection to ensure that any incident can be dealt with safely and quickly to prevent damage to the environment.”
Ambitions Personnel named as Crown Commercial Service Supplier
Recruitment firm Ambitions Personnel have been named as a supplier on Crown Commercial Service’s (CCS) Permanent Recruitment 2 Framework agreement.
The Crown Commercial Service (CCS) supports the public sector in gaining the greatest commercial value when buying common goods and services. In 2019/20, CCS helped the public sector to achieve commercial benefits worth over £1bn – supporting world-class public services that offer the best value for taxpayers.
Ambitions Personnel will be delivering recruitment services to Lot 2 – Non-Clinical / General Recruitment, which includes hiring into roles such as administration, customer service and IT.
Managing Director of Ambitions Personnel, Mandy Watson, said: “It’s great that we’re now a named supplier on the esteemed CCS framework. We’ve had many success stories of recruiting into the public sector spanning over 30 years, and now it’s time to expand this – we want to be the go-to recruitment agency.”
Since 2010, the government has launched several initiatives to help support SMEs across the UK.
Mandy continued: “The government’s SME Action Plan allows smaller businesses to compete with much larger organisations. Ambitions Personnel will play a prominent role in efficiently hiring new staff into government roles, helping the government achieve their spending targets for helping small businesses.
“With this step, we’re already looking forward to seeing what the future holds.”
Business Secretary launches late payment review to support small firms
On Small Business Saturday Business Secretary Grant Shapps announced a comprehensive review into tackling late payments for small businesses, while urging large companies to pay their smaller suppliers promptly.
Small businesses routinely spend significant time and resources chasing late payments from businesses they supply which can lead to cash flow problems, putting their firms at risk and preventing them from growing. The majority of small businesses do not have large balance sheets and cannot accommodate long payment terms or delays to receiving payment within their cash flow cycle.
The Payment and Cash Flow review will scrutinise existing payment practices and the measures in place to make sure small firms are not ripped off by their larger clients – with over £23.4 billion currently owed in outstanding invoices to UK businesses.
The review will consider the progress made in specific sectors of the economy in combatting late payment and will also include an in-depth examination of current payment reporting regulations and the Prompt Payment Code.
In addition, the statutory review of the Small Business Commissioner will help to ensure that the UK has the right arrangements in place to best support small businesses.
Mr Shapps said: “The UK’s 5.5 million small businesses are an integral part not just of our economy, but of our communities too, and this government is firmly on their side.
“That many small firms are routinely paid late is intolerable and presents a real barrier to productivity, the creation of high-skilled jobs and ultimately economic growth.
“This review will allow us to build on the success we have had so far in curbing late payment, unshackling small businesses from this exploitative practice and creating a system that is fit for the future. While we crack on with this work, I also want to remind big businesses of their duty to ensure their smaller suppliers are paid promptly.”
He said the government was already demonstrating its own commitment to prompt payment through the Procurement Bill, which is currently being debated in Parliament. The legislation sets out the requirement for 30 day payment terms to apply in public sector supply chains which will help level the playing field for SMEs and encourage more businesses with smaller budgets to bid for public sector contracts Also within the scope of the review is the role of technology-enabled accountancy platforms in tackling late payments and promoting a better understanding of prompt payment measures within the small business community.New deal secured at Harrogate office development
Moda Living, a developer of purpose-built rental communities, has taken nearly 4,000 sq ft at Harrogate’s largest office development.
Property investment and development company, CEG, has agreed a five-year lease with Moda Living for the workspace.
Dan Brooks, director of Moda Living, said: “As a fast-growing company, we needed space which provides an inspiring, contemporary environment. Central House provides great facilities and a fantastic productive and healthy environment for the team.”
CEG has managed a £4m investment into Central House, delivering a new reception, common areas, café and courtyard, with innovative break-out workspace offering free WiFi and plug in points. Bookable meeting room, a cycle spa, showers, drying room and lockers are also provided for the building’s 1000+ occupants.
The largest office development in Harrogate, Central House provides 167,822 sq ft of prime workspace. More than 85% of the building is already let to 13 businesses with only 24,850 sq ft of office suites currently available.
Robert Morton, investment manager at CEG, said: “We are delighted to welcome Moda Living to the Central House business community. Our recent investment to reimagine the space has provided new facilities, as well as innovative spaces designed to encourage collaboration, where staff can eat, meet, drink and work in a modern environment.”
Conveyancing solicitor returns to LCF Law
A Yorkshire conveyancing firm has welcomed experienced conveyancing solicitor, Liz Webster, back to its team. Liz first worked at LCF Residential in 2012.
Liz said: “Having started out as a legal executive more than 24 years ago, I worked at firms in Wakefield, Leeds and Bradford before qualifying as a solicitor in 2007 and then becoming a partner at the Wakefield-based firm where I started out.
“I have taken two career breaks to travel and worked for LCF Residential in between but having settled back in Yorkshire, I was keen to return to the firm permanently. The ethos at LCF Residential is unparalleled and the team are first-rate.”
LCF Residential, which is the conveyancing arm of Yorkshire law firm LCF Law, works with home buyers, sellers, and estate agents, as well as nearly every UK mortgage lender.
Julie Davis, a director at LCF Residential, said: “We are thrilled to have Liz back. Despite the ever-changing political landscape, the housing market has remained buoyant, with lots of transactions.
“Firms that offer an excellent responsive service like ours, get plenty of referrals and repeat custom and having also built strong relationships with estate agents across the region, we are well-known for getting the job done within agreed timescales, where possible.
“One of Liz’s strengths is her knowledge and experience of Sharia compliant Islamic funding in residential and commercial property purchases, where LCF Residential is one of the go-to firms in Yorkshire in this specialised area. Our team also works closely with new homes developers, where we are chosen to act for and support the buyers of their homes.
“As a result, we are growing our team of 23 and Liz was an obvious choice. It’s a complex marketplace for the conveyancing market with so many moving factors. Liz is a safe pair of hands, well respected and highly experienced in ensuring successful outcomes for those we act for.”
Scunthorpe United acquired by local group
A deal has been agreed for the acquisition of Scunthorpe United by a local group headed by Simon Elliott and Ian Sharp.
The National League club will now work with them during the final due diligence and transition into their ownership over the coming weeks.
From owner Peter Swann said: “We needed to ensure that the club wages for November were paid as soon as possible, which will happen later today or tomorrow thanks to the deal and ensure the long-term future of the football club with new investment.”
COO and chairman Lee Turnbull said in a statement: “We warmly welcome long-standing Scunthorpe United supporters Ian Sharp and Simon Elliott to the Football Club. Both have worked tirelessly to secure the future of the Iron and after many long hours have finally achieved their goal by agreeing a deal with Mr Swann.
“I wish Peter and Karin Swann well, whatever the future holds. Their financial support over the last 10 years has been vital to sustain Scunthorpe United.
“A positive step forward off the pitch now needs to be replicated on the pitch. We will be helping the coaching staff by identifying some new additions.
“Our focus must be to climb the table and strengthen the squad.
“Hopefully with your support, we can boost attendances and get fans back in numbers to watch the Iron. We need local businesses to get back on board and the good people of North Lincolnshire to step up and help us get back on track.
“Let’s make the future bright, let’s look forward and not back, focus on the now and give everything for the club we love.”
Business behind IRN-BRU, Rubicon and Funkin acquires Leeds drinks company
A.G. BARR, which produces and markets some of the UK’s best known drinks brands including IRN-BRU, Rubicon and Funkin, has acquired Boost, an established branded drinks business, for an initial consideration of £20 million.
The Leeds-based business is being acquired from Boost founder Simon Gray and his wife Alison. The management team, led by Simon Gray, will continue to lead the business, operating within the A.G. BARR group as a standalone business unit.
On top of the initial consideration of £20 million, the deal involves an additional consideration of up to £12 million, dependent on future revenue and profitability performance of the Boost business over a two year period from completion.
The Boost brand, founded in 2001, primarily operates in the high growth functional beverage category spanning energy, sport and protein, with a strong market position in the UK independent retail channel.
For the year ended 31 December 2021, Boost’s unaudited statutory revenue and profit before tax were £42.1 million and £1.9 million respectively with gross assets of £12.5 million.
Roger White, Chief Executive Officer, A.G. BARR, said: “Today’s announcement is further evidence of our strategy to continue to grow the business through targeted acquisitions, with a particular focus on developing within high growth and functional categories.
“Boost is one of the UK’s most recognisable functional drinks brands, and we are delighted to welcome the team into the A.G. BARR Group. The Boost portfolio offers premium taste and performance at a competitive price, with a strong market position in the UK independent retail channel.
“With A.G. BARR’s proven track record of acquiring and developing attractive brands such as Rubicon and Funkin, I look forward to working with Simon and the team to ensure Boost continues to grow and develop under our ownership.”
Simon Gray, founder and Chief Executive Officer, Boost Drinks, said: “I’m hugely excited to embark on the next phase of Boost’s growth with A.G. BARR. Over the past 20 years Boost has proven its popularity with consumers who want great tasting, high performing functional drinks that offer great value for money and I am sure that as part of the A.G. BARR Group we will maintain our strong growth trajectory.”
Doncaster firms share in national award from plastics industry
Doncaster-based precision engineering company Agemaspark and Advanced Plastics have won the Supplier Partnership – Toolmaker category award at this year’s Plastic Industry Awards.
Paul Stockhill, MD of Agemaspark said: “We’re thrilled to have won this award alongside Advanced Plastics. We’ve worked with Advanced Plastics for five years and have been proud to work with them on this project to create a new tool for the automotive industry.
“Using our innovative conformal cooling technique, created and developed over many years, we were able to deliver a solution that allows the surfaces of the tool cavity to be rapid-heated for injection and rapid-cooled before demoulding. This technique also provided the ability for the company to achieve a viable cycle time.”
Advanced Plastics, an Injection Moulding company that develops a diverse range of technical injection moulded products for blue chip clients across a range of market sectors, worked with Agemaspark to develop the new tool, that will be used to produce an automotive interior trim component within the vehicle.
Paul added: “Winning this award is a great recognition of the partnership work between our two companies.
“We were really pleased with the results and parts were produced successfully at the first tool trial with no visible weld lines and a perfect surface finish. This part needed to have a high-quality visual appearance and a high-quality tolerance. Our leading technology and expertise were used to deliver this whilst to reducing the cost and environmental impact of the manufacturing process throughout.
“It is fantastic to see our conformal cooling technique being used in a number of different sectors to reduce cycle time and increase efficiency and being recognised by the industry for its innovative approach to problem solving.”
