UK decommissioning, demolition and remediation specialist KDC has secured a multi-million pound refinancing deal from Yorkshire Bank.
The GBP3.8m finance package, from Yorkshire Bank’s Manchester-based corporate banking team, provides KDC with fresh working capital as it continues to win new contracts across the UK.
The deal also refinances investment provided by YFM Equity Partners who, along with Yorkshire Bank and Barclays Ventures, was a key investor in the 2008 management buyout of the business. The company has grown turnover from GBP14m to GBP24mn since the MBO and it now has 140 employees across the UK.
Established in 1990, KDC is one of the UK’s leading providers of specialised decommissioning, demolition and land remediation services for the nuclear, petrochemical, pharmaceutical, energy and utilities sectors.
Ged Gurney, finance director of KDC, says: “We work in a high-risk, high consequence sector and the way we manage and mitigate those risks means we are seen by our customers as a trusted partner. Since the MBO we have been able to significantly widen our client base and service offering in ‘end-of-life asset’ management. For example, we have carved out a reputation as the number one company in the nuclear sector for what we do. There is huge potential for growth and the funding provided by Yorkshire Bank gives us a solid foundation on which to continue developing the business.”
Neil Farrell, a director of Yorkshire Bank’s corporate banking team, says: “KDC has enjoyed a hugely impressive trading performance in recent years and has a clear strategy for future growth. We are incredibly pleased to continue supporting the business at this exciting time.”
Deborah Heyes (pictured), investment director at YFM Equity Partners, says: “Our investment in KDC has been a resounding success, largely due to the professional and knowledgeable KDC management team, who are a pleasure to work with. We wish them every success in the future.”
KDC’s decommissioning services include strategy development, hazard characterisation, decontamination (asbestos, radiological and chemo-toxic), de-planting, asset disposal, demolition and land remediation.
Customers include Sellafield, BP, Chevron, Total, The Dow Chemical Company, Croda, GlaxoSmithKline, AstraZeneca, EDF Energy and Scottish & Southern Energy.
