Gambit Corporate Finance has acted as lead financial advisor to WRW Construction (“WRW”), securing a multi-million pound funding solution from alternative lender ThinCats.
WRW is a family-owned, national construction company with offices in Llanelli, Cardiff and Bristol. The company has a track record of delivering award winning projects throughout Wales and the West of England, with over 700 projects completed in the last 33 years. The company delivers new build construction, restoration, renovation and refurbishment projects to clients across commercial, residential, leisure and education sectors.
Impressive growth has been achieved in recent years with the business delivering a turnover in excess of £60 million in 2018. Significant further growth is expected and underpinned by a strong secured pipeline of over £120m.
The transaction provides WRW with a flexible, multi-million pound facility for working/growth capital purposes.
Jon Williams, Managing Director of WRW said, “We are on track to break revenues of £70m this year with an enviable orderbook of over £120m under contract. Despite the well documented challenges the industry and indeed the wider economy is facing, we were delighted to have been able to pick from a range of finance offers to take us forward.
“By choosing ThinCats as our long-term finance partner, it will further strengthen our position as one of the leading Main Contractors in Wales and the South West of England over the coming years.”
“Jason and the team provided first class advice and support, taking time to understand our business and requirements, before tapping into their extensive finance network, to identify a range of the most appropriate funding partners. This was key as we operate in a sector that currently, high street banks often struggle with. Gambit’s guidance helped us to navigate through the process, ultimately securing an outcome above our expectations in terms of amount of facilities, structure and terms, giving us the resources to drive forward with our ambitious strategic plans. I would have no hesitation in recommending Gambit.”
Alex Jenkins, Finance Director of WRW said, “The Gambit and ThinCats teams were excellent throughout in cutting through the noise of such a significant and often complex strategic decision to advise and develop the best finance proposition for WRW to meet its business plan. It’s great to reach such a noteworthy milestone as we look to improve our offer to both our clients and supply chain.”
The Gambit team was led by Jason Evans (Partner), Simon Marsden (Director) and Nick Gallagher (Analyst) who were responsible for identifying and approaching selected funders, advising the directors throughout the transaction, negotiating the terms of the facility and project managing the transaction through to successful completion.
Jason Evans said, “We are delighted to have acted for WRW in securing this facility. In a sector which can be challenging for mainstream banks, the emergence of alternative lenders such as ThinCats provides an opportunity for high growth companies to secure innovative funding solutions. The facility will assist WRW with additional liquidity and support the impressive growth expectations. WRW has a first class track record, high quality leadership and has carved out a fantastic niche resulting in a strong pipeline of projects.”
Simon Marsden said, “This is an excellent example of how creative and flexible structures can deliver workable funding solutions even in traditionally challenging sectors such as construction. We continue to see a proliferation of alternative funding providers which is creating significant liquidity and flexible options for companies to achieve their funding ambitions, that can work in tandem with day to day banking relationships.”
ThinCats is an established fintech lender dedicated to funding SMEs with business loans up to £15m. Offering funding solutions to SMEs for working capital, growth finance, management buy-outs, acquisition finance, refinancing and asset purchase purposes.
Alison Whistance, Director Regional Business Development, ThinCats said, “ThinCats are very proud to support WRW with its continued growth and this facility provides the funding required to deliver their strong pipeline into 2020 and beyond. This is a great example of what ThinCats does best, we worked closely with Gambit and the management team to provide a flexible solution that was bespoke for the business. It was a pleasure to work with all parties involved and we wish WRW continued success for the future”.
Legal advice to WRW was provided by Acuity Legal.