BBF CEO Jonathan Lill.
British cake manufacturer BBF has secured £40 million in funding through a financing facility to support its future growth plans.
Blackburn-headquartered BBF said the three-year facility, provided by Wells Fargo Capital Finance, will provide day-to-day working capital as well as offer headroom to enable further capital investment into its manufacturing facilities.
The company operates four bakeries in the north of England and one in Poland, supplying retailers such as Tesco, Sainsbury’s, Asda, Marks & Spencer, Aldi and Lidl.
Last year, BBF acquired Greencore’s ambient cake and chilled desserts division, headquartered from a bakery in Hull.
As a result of the acquisition, annual group revenues have risen to over £150 million, with over 2,000 people now employed over the five sites.
BBF, led by CEO Jonathan Lill, has been owned by private equity investor Endless since 2015.
“The facility provided by Wells Fargo gives the business extra firepower to make further investment in all of our manufacturing sites and to deliver on our strategic growth plans,” said Lill.
“Wells demonstrated great appetite throughout the process to support the business and we’re excited to have secured this new funding facility.”
Tom Weedall, director of loan originations at Wells Fargo Capital Finance UK, added: “Leveraging Wells Fargo’s platform, we are delighted to work with BBF. This funding facility will support their future working capital and growth requirements. Also, our tailored solution will enable BBF to continue to provide the highest level of service and award-winning products to their customers.”
BBF manufactures products such as mince pies, celebration cakes, chocolate-enrobed cakes, crumbles, cupcakes, fairy cakes, cheesecakes, sponge puddings, Christmas cakes, fruit pies and swiss rolls.
© FoodBev Media Ltd 2019
World Dairy Innovation Awards – now open for entries
Enter before 10 May to ensure you are part of the industry’s leading awards scheme. Don’t miss out on having your dairy innovations recognised.