Recognise Bank has provided a £1,697,500 bridging loan to enable a manufacturing company to acquire two industrial units in West Yorkshire. The transaction was introduced by Mark Jerman at Watts Commercial Finance.
The borrower, a manufacturer with more than 35 years of trading history, produces coatings, adhesives, elastomers and moulded rubber products. The company employs over 100 staff and exports globally, operating from the site in question.
Strategic acquisition
The two units form part of a five-unit operational site. The acquisition supports the manufacturer’s strategy to bring its manufacturing base into full ownership and strengthen its balance sheet.
The facility was structured over an 18-month term at 67% loan-to-value on a serviced basis. The transaction required coordination with the borrower’s banking requirements, including the need to align short-term acquisition finance with a longer-term banking solution for international operations and a multi-facility structure.
“This was a well-established manufacturing business with a clear rationale for acquiring its operating premises,” said Paul Bagan, lending manager at Recognise Bank. “The requirement was to structure a facility that supported the acquisition while allowing time to put the right long-term banking in place.”
Commercial finance market
Jerman noted the borrower had a clear strategy, but the need to align short-term funding with future banking requirements meant the deal required careful structuring. “Recognise Bank understood the brief from the outset and worked collaboratively throughout, delivering a facility that gives the client the time and certainty needed to progress,” he said.
The deal was led by Bagan, supported by Recognise Bank’s wider lending and operations team. The transaction reflects continued activity in the commercial finance sector, where owner-occupier acquisitions remain a key segment alongside broader property ownership trends.
The 18-month term provides the manufacturer with time to arrange permanent financing while securing ownership of the operational premises.
