UK-based Lucart Hygiene has received a multi-million-pound funding package from Santander UK to further boost AfH production at its Malvern-based plant.
The funding supports the refinancing of the manufacturing facility at Blackmore Park as well as providing an invoice finance facility, and means the business can then focus on expanding in the AfH tissue market with the Lucart Professional product range.
Jonny Wilks, Managing Director, Lucart Hygiene, said: “With the ever-changing economic challenges businesses are facing, we took the decision to look for a new finance partner to support us through these uncertain times.
“We are pleased to now bank with Santander UK as it understands the needs and values of our business, and, with its support, we are extremely confident about our plans.”
Italian paper manufacturer Lucart acquired the site – formerly Essential Supply Products – in March 2021, marking the group’s entrance into the UK market.
In its first nine months operating as Lucart Hygiene the business turned over £21.8m and said it is forecast to achieve annual turnover of £37m by the end of this year.
Its longer-term goal is to achieve annual turnover of £50m within the next five years, and to eventually invest in a paper mill in the UK.
Lucart Hygiene manufactures and supplies tissue paper-based products and dispenser systems to businesses, primarily wholesalers spanning a wide range of industries in the UK and Republic of Ireland.