Pentagon Chemicals secures £2m from Government SME fund
17 Dec 2009
London - North West chemicals company Pentagon Chemicals has secured a £2 million from the Enterprise Fund (CfE), – a £75 million Government-backed fund launched earlier this year to help small and medium size enterprises (“SMEs”) in the UK gain access to the financial support required to bridge the funding gap caused by the credit crisis.
“The new investment will underpin Pentagon’s growth strategy, enabling more aggressive business development by supporting the new product pipeline and high-return capital projects,” said Allan Laing, chief executive of Pentagon Chemicals. “It will also provide the financial stability required to satisfy our global customers and suppliers that Pentagon can fulfil its role as a long-term strategic partner.”
Pentagon is a contract manufacturer of organic intermediaries for use in the life science, petrochemical and speciality chemicals markets. It was formed in 2002 from the buyout of Dow’s Specialty Chemicals business and in 2003 it acquired the Fine Chemicals business from US-based Great Lakes Chemicals. The business has annual sales of around £40m and employs around 160 people at sites in Halebank in Cheshire and Workington in Cumbria.
With core technologies in phosgenation, Grignard, maleinisation and sodium dispersion, Pentagon won the Chemical Industry Association’s Manufacturing Award for both 2008 and 2009 for its sustainable development plan, commitment continuous improvement and active employee engagement.
In April 2009, it was announced that £60 million from the CfE Fund would be allocated to two separate £30 million funds, one of which is managed by Maven. A further £15 million is being managed as a co-investment fund by Capital for Enterprise Fund Managers
Andrew Craig, partner at CfE fund manager Maven, commented: “Pentagon Chemicals is a high quality Fine and Specialty Chemical contract manufacturer with an impressive blue chip client base, the senior management team, led by Allan Laing, have exciting plans for the business and Maven is delighted to be able to provide this investment from the CfE Fund to help the team achieve their strategic vision.”
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