Hughes Bakers secures £600k NPIF investment as part of UK expansion bid
Shipley-based Hughes Bakers has secured a £600,000 loan from
NPIF - FW Capital Debt Finance, part of the Northern Powerhouse
Investment Fund (NPIF).
Well known in Yorkshire, Hughes Bakers was founded over 90 years
ago and works with an established supply chain to produce a diverse
range of baked goods.
Just this month the company merged with Asa
Nicholson of Bradford as part of its expansion plans. A rebrand is
expected to follow later this Autumn.
Hughes Bakery is owned and run by food
industry specialists Ian Connell, John Cummings and Colin Davies,
who have over 120 years of combined food sector experience from
working with retail giants and branded manufacturers such as ASDA,
Rowntree, Golden Wonder, Morrison and Tesco.
The company is using the six-figure investment
to increase on-site capacity, simplify its product range in line
with current consumer trends and work towards achieving British
Retail Consortium (BRC) accreditation.
BRC accreditation is a pre-requisite for
large-scale suppliers of the UK’s major supermarkets, which forms
part of Hughes Bakers’ growth plan.
Twelve jobs will also be created to supplement
the existing team of 73.
Colin Davies, finance director at
Hughes Bakers, said: “Hughes is an established bakery in
Yorkshire working with ASDA Walmart and Co-op as well as a large
number of smaller, independent retailers.
“Our plans now involve increasing our capacity
for commercial volumes so we can service more of the larger
retailers and we are already talking to the big supermarket chains
about achieving listings. We also intend to innovate within our
product development so we can be more artisan in what we do.”
Keith Charlton, senior investment
executive at FW Capital, said: “Hughes Bakers has a solid
reputation and an experienced and committed management team who
have a clear vision for the company’s expansion.
“The directors have identified clear growth
opportunities and are already putting in place the elements needed
to make these happen. This is an excellent example of how NPIF
investment and support from FW Capital can help ambitious
businesses move forward and scale up.”
Grant Peggie, Director at British
Business Bank, said: “The Northern Powerhouse Investment
Fund is pleased to support a great Yorkshire-based business in
Hughes Bakers. This new line of funding will help the business
reach new heights, as it looks to grow its workforce and secure new
contracts with more of the UK’s leading retailers.”
Operating from the British Business Bank’s
Sheffield head office, the Northern Powerhouse Investment Fund
provides a mix of debt and equity funding (£25,000 to £2m).
It works alongside ten Local Enterprise Partnerships (LEPs), the
combined authorities and Growth Hubs, as well as local accountants,
fund managers and banks, to support Northern-based SMEs at all
stages of their development.
The Northern Powerhouse Investment Fund
project is supported financially by the European Union using
funding from the European Regional Development Fund (ERDF) as part
of the European Structural and Investment Funds Growth Programme
2014-2020 and the European Investment Bank.