|About the transaction: CDE Global|
|UKEF support||Standard Buyer Loan Guarantee|
Cookstown-based CDE Global design, manufacture and commission wet processing plants and equipment for construction and recycling operations around the world. With support from our Standard Buyer Loan Guarantee pilot programme, the business was able to secure a multi-million pound contract to expand production capabilities at a silica quarry in Oueslatia, Tunisia.
With the commercial market unable to provide a solution to support extended repayment terms, CDE contacted UKEF. We were able to cover a nine-year facility for their buyer to finance the contract, significantly boosting CDE’s turnover and supporting jobs at the company.
The maximum amount that can be made available under the Standard Buyer Loan Guarantee is 85% of the contract value and is typically relevant for contracts between £1 million and £30 million. The new product aims to provide more financing options for small and medium-sized enterprises (SMEs) that are looking to export.
The financing for this deal with CDE was arranged by AF Capital Partners, which is a new partner for UKEF and reflects our initiative to increase support for smaller deals.
Marc Jennings, CEO of CDE, said:
This is the second time we’ve partnered with UKEF. Its export sales support facilitated the development of a major recycling project in Europe, a very important sector for our future growth.
The finance facility offered by UKEF for this new project, a second silica sand wet processing plant for our customer Sebri Group, is a boost to our business, sustaining engineering manufacturing roles, and the access to finance ensures our customer can continue to invest in the best solution to help them grow.
Commenting on the deal, Andrew Woolfson, Partner at AF Capital Partners, added:
This scheme allows buyers to make their choice based on the quality of the goods alone. For CDE, it has single-handedly brought an export contract to the UK that was otherwise being awarded to a German competitor. We look forward to being part of a product that can grow UK exports for many years to come.