Find out how
With an annual turnover of $25m, the Herrington Group* is a national manufacturer and distributor of lighting products. Recently, they had the opportunity to acquire a competitor which offered a perfect complement to their existing business.
To support Herrington’s expansion strategy, Bank of Melbourne arranged a $10m loan to fund the acquisition, upgrade the newly acquired business’ aging equipment as well as lease additional warehouse storage facilities. The loan was secured against the company’s balance sheet and non-property assets.
We also provided a $5m multi-option facility comprising commercial bills, foreign exchange, a letter of credit facility, invoice discounting and a foreign currency overdraft. These facilities were secured against the company’s debtors book as well as stock and plant equipment of both their existing business and that of their acquisition.
By partnering with Herrington Group and fully understanding their needs, Bank of Melbourne offered a highly flexible and customised financial solution that encouraged expansion and provided a framework for future growth.
* The practice depicted in this scenario is fictional, however is representative of a number of Bank of Melbourne customers.