Woodheads Seeds continues to grow business thanks to RBS


Woodheads Seeds continues to grow business thanks to RBS

Selby-based Woodheads Seeds Ltd (Woodheads), Yorkshire's largest seed grower and processor, has secured a £2m financing package from the Royal Bank of Scotland Corporate & Institutional Banking (RBS CIB).

The 200-year-old company offers a complete end-to-end service: from supplying high-quality, local and certified seeds, to a full buy-back provision, meaning it will repurchase any excess seeds from its customers. All cereal seeds are grown by local farmers, with Food and Environment Research Agency (FERA) controlled regulations administered in-house. Woodheads is also key member of the Private Retail Independent Seed Merchants (PRISM) group, which accounts for 20-25% of all cereal trade in the UK.

Woodheads, which has revenues of approximately £23.3m, is part of The Wynnstay Group, one of the UK's largest manufacturers and suppliers of agricultural goods to farmers and rural communities in Wales, the Midlands, the North West and Yorkshire. The Wynnstay Group recently announced its strongest ever annual results for FY2011: revenues up 42% to £346.18m. Its agricultural division recorded revenues up 54% to £274.57m, driven in part by the on-going success of Woodheads Seeds.

The deal sees RBS take over Woodhead's day-to-day banking, more than doubling the company's credit facilities. The extended funding of £2m will be used for capital expenditure and business investment as the firm looks to capitalise on further market opportunities.

Jonathan Woodhead, Managing Director, Woodheads Seeds Ltd, said: "We are absolutely delighted with the package that the team at Royal Bank of Scotland put in place. We feel it will allow us to continue to push on this year and help us achieve the bold targets we have set ourselves in 2012. The regional RBS team understood our needs perfectly and offered us exactly the sort of tailor-made product we were looking for."

Sam Reynolds, relationship director, RBS CIB, said: "We are very proud to be given the opportunity to work with Woodheads. The company is another example of the excellent businesses in the region, with an excellent business model as well as optimistic growth potential. The team worked very hard in understanding Woodheads' business needs, and we are delighted to be able to offer our support and look forward to building our relationship with them over the coming months."

Tagged

Latest news

RBS to help 2.5 million people each year to be more financially capable

RBS has today committed to helping 2.5 million people in the UK each year to improve their financial capability.

RBS to increase lending to sustainable energy sector following £1.1bn securitisation of loans to UK sustainable energy market

RBS has executed a £1.1bn securitisation deal with Macquarie Infrastructure Debt Investment Solutions (MIDIS), which will allow the bank to recycle capital and increase lending to the sustainable or renewable energy sectors.

RBS launches £1 billion Female Entrepreneurship Funding and announces targets to help create at least 50k new businesses by 2023

RBS has today announced a new £1 billion in funding through NatWest to support female entrepreneurs in the UK to scale and grow – the largest intervention by a UK lender focused specifically on female-led businesses.

Set Tab for lightbox