Ground engineering firm secures £170m finance package

Keller Group plc, the world's largest independent ground engineering specialist, has secured a £170 million funding package supported by Yorkshire Bank Corporate & Structured Finance.

The bank provided £50 million as part of a banking club which also included Lloyds TSB, Wells Fargo Bank and The Royal Bank of Scotland. The funding will replace and substantially increase Keller’s existing bank facilities and provide funds to support future organic growth and acquisitions.

Keller is renowned for providing technically advanced and cost-effective foundation solutions to the global construction industry, with ground engineering crucial to the success of major civil engineering schemes such as energy production, infrastructure renewal and urban regeneration.

With 2009 revenue of c£1bn, Keller is a member of the FTSE-250. Founded in 1958 and based in London. Keller now employs around 6,000 staff with offices in over 30 countries on five continents.

Keller is the market leader in the US and Australia; it has prime positions in most established European markets; and a strong profile in many developing markets.

Keller is an existing customer of Yorkshire Bank. This latest deal sees the bank increase its investment in the business by £16 million. Director Daniel Rosinke and associate director John Bullock, from Corporate & Structured Finance in Leeds, led the transaction on behalf of the bank.

James Hind, Keller Group plc finance director said: "We are pleased to have concluded an increased bank facility which secures the Group's financing requirements for the foreseeable future. We value our close and long term relationship with Yorkshire Bank Corporate & Structured Finance and are delighted that they continue to have the confidence in Keller to increase their participation in the Group’s banking facilities."

Yorkshire Bank Corporate & Structured Finance director, Daniel Rosinke added: "We are delighted to increase our funding to Keller, a longstanding customer of the bank with an unrivalled track record and reputation. Keller has experienced a decade of growth and although impacted by the more recent downturn in a number of markets this has been mitigated by its global reach and swift management actions. As such the business is well placed to emerge from the downturn in a stronger market position and take advantage of future growth opportunities that arise."