New funding deal gives SRG platform for growth
SCOTTISH Resources Group (SRG), the UK’s largest opencast coal producers and land, property and renewable energy developers, have announced the arrangement of new £47.5 million debt facilities with Lloyds Banking Group. These facilities replace an existing £23 million facility with the company’s previous bankers.
The new facilities will fund the future development and growth of the business. The move follows a successful year of trading for SRG with production up over 12% year on year and with 5 million tonnes of coal added to the company’s reserves base.
Don Nicolson, chief executive of Scottish Resources Group, said: ‘We are pleased to have agreed these new facilities with Lloyds Banking Group, which confirm the financial strength of the Group and provide a solid funding structure to support our future growth plans.
‘We look forward to working with Lloyds as we seek to execute our growth strategy in our core mining business as well as further developing the extensive opportunities we have in the renewable energy, land and property sectors.’
Andrew Clark Hutchison, relationship director, corporate banking for Lloyds Banking Group, added: ‘The new finance gives SRG a platform for growth. The size of the deal reflects our confidence not only in SRG’s short-term development plans, but also in the business’s long-term objectives. SRG now have access to the funds they need to support their ambitious objectives.
‘The deal supports a sound Scottish business in an important sector of the Scottish economy. The new management team has a compelling business plan in place underpinned by a strong balance sheet and we are only too pleased to offer our support.’