BenRiach distillery boosts growth strategy with £27m funding deal from RBS
Edinburgh-based BenRiach Distillery Company Limited (BenRiach), one of Scotland's most famous independent whisky distilleries, is to expand its business and consider further acquisitions thanks to a new £27 million flexible funding package from Royal Bank of Scotland Corporate & Institutional Banking (RBS CIB).
- (1888PressRelease) March 07, 2012 - Founded in 1898, BenRiach has grown substantially during recent years. Developments include the acquisition of the GlenDronach Distillery in 2008 and the implementation of a five-line bottling plant in Newbridge in 2010. The company supplies a range of high-end 12 to 15-year-old single malt whiskies, along with more mature and premium varieties, to customers throughout the world. Key markets include western Europe, Asia, North America and, increasingly, Brazil and other Latin American economies.
In recognition of the firm's on-going excellence, BenRiach won a number of industry awards last year. At the 2011 Malt Maniacs Awards, the company won two gold, four silver and three bronze medals, for instance; the GlenDronach 1972 bottling of cask 712 was the best overall whisky in the competition.
The £27m deal, which also sees RBS CIB become the new full-banking partner to BenRiach, is a significant uplift on BenRiach's previous funding facility. The package is fully flexible, with funding offset against stock, and will be used for investing in stock and facilities, general capital expenditure and, if the opportunity arises, selective acquisitions. The firm currently employs 80 people across its two sites.
Billy Walker, managing director at BenRiach, said, "With demand at an all time high, we are delighted to have finalised this funding package with the Royal Bank of Scotland corporate banking team in Edinburgh. Having filled over 10,000 casks of single malt in 2011 for the first time since the distillery changed ownership in 2004, this new funding facility will enable us to expand our business to meet the worldwide demand for our highly regarded whiskies. "
Eddie Rintoul, Managing Director, Royal Bank of Scotland CIB, said, "We are delighted to be able to contribute to BenRiach's on-going expansion and success with this funding package and new full banking relationship. By linking the financing to stock levels, we are able to supply BenRiach with a highly flexible facility that will help the firm meet its global business aspirations."