A well-established Belfast based company is set to become the island’s biggest distributor of fasteners, fixings and mechanical support systems after agreeing a funding package which included a £500,000 loan from the Investment Fund for Northern Ireland.
The transaction has enabled three of the company’s senior employees, Stephen Clarke, Jonathan Aiken and Craig Milne to acquire the group from existing shareholders.
The deal will see the new owners take control of the Profast Group’s three trading subsidiaries, Profast (NI) Limited, Profast Limited and Fortus Hardware Limited.
Based in both Belfast and Dublin, Profast’s fasteners and fixings have been used on iconic Belfast projects including the RISE sculpture on the Broadway roundabout and Translink’s new Grand Central Station. The funding from the Investment Fund for Northern Ireland was facilitated by Whiterock and will be used to provide working capital and accelerate the growth of the business under the new management team.
Profast Group CEO, Stephen Clarke said: “The journey with Whiterock has been an exceptional experience. From day one, they have demonstrated a clear understanding of our goals and have been direct and transparent throughout the process.
“When I joined Profast Group seven years ago, I always had the ambition to lead the business into the future but was unsure of the options available to support such aspirations.
“This funding has provided us with the means to realise our vision today and support our vision over many years to come. I would encourage anyone with similar ambitions to explore the opportunities that Whiterock and the Investment Fund for Northern Ireland can offer.
“This partnership will enable us to elevate the business to the next level, expanding our national & international reach while staying true to the values that define us as a local company.”
Investment Director, Rhona Barbour said: “Whiterock is delighted to work with the Profast Group to support the continued growth of this long established, successful business.
“The new management team’s wealth of experience and technical knowledge have played a crucial role in the success of the business over the last number of years and will be a key part of its future success.
“The business has built a strong brand identity with an emphasis on customer service over the years and its ability to identify and target underserved market segments shows how it can overcome market saturation.
“This deal perfectly showcases the intended focus of the Investment Fund for Northern Ireland, providing complementary funding alongside the senior bank to assist local businesses in realising their growth plans across a range of sectors.”
British Business Bank Director, Nations and Regions Investment Funds, Mark Sterritt said: “The Profast Group has already earned a reputation for delivering a range of fasteners and fixings for the manufacturing, steel fabrication, construction and complimentary industries.
“We are delighted to see the new management team’s belief that there is a real opportunity for further growth in this business and we are delighted to be able to support through the Investment Fund for Northern Ireland with the finance to help them realise this ambition.
“Supporting exciting and innovative businesses on their growth journey is what the fund is designed to do, and I am looking forward to seeing how the Profast Group progresses under its new ownership.”
The £70million fund offers a range of commercial finance options including debt finance and equity investment to support businesses from all sectors in Northern Ireland and at different growth stages.
Whiterock manages the debt fund, offering loans of £25,000 up to £2million while Clarendon Fund Managers provide equity stakes in smaller businesses up to £5million.
To find out more about the Investment Fund for Northern Ireland visit http://www.investmentfundnorthernireland.co.uk
