BGF (Business Growth Fund) has backed Darlington-based Total Recycling Services (TRS) with a GBP6.7m growth capital investment.
TRS provides complete recycling and waste management services for industrial and commercial customers, including hazardous waste recovery, commercial recycling and industrial services. Operating from its two sites in Teesside, all services are carried out in-house enabling TRS to provide a high-level of flexibility, responsiveness and control around customers’ recycling and waste management requirements.
The six-year old business, which generated turnover of more than GBP14 million in 2014, is led by Managing Director, Alex Foreman. During this time, TRS has built a strong asset base including its own permitted hazardous waste recovery facility operated under ISO accredited systems, a fleet of 26 owned specialist wagons, tankers and jetting units. More recently, it expanded its commercial recycling operations through the acquisition of Foreman Recycling, now fully consolidated into TRS’s existing operations. BGF’s investment will be used to accelerate organic growth and to explore opportunities to further expand its operating facilities and equipment.
This is the fourth North East based business BGF has backed in the last 12 months and follows investments in Chemoxy, Altec Engineering and Broadband Satellite Services. In total, BGF has invested GBP50m in seven North-East based businesses since 2012.
Ross Smith has been appointed by TRS as Non-Executive Chairman following an introduction made by BGF and will work with management in developing and executing their longer-term growth plans. Ross is currently Non-Executive Chairman of BGF-backed J&B Recycling, also based in Teesside.
Alex Foreman, Managing Director, TRS, says: “After six years building a stable customer base and investing in equipment and facilities, we are now in a position to scale-up our operations.
“Keeping control of the business and finding an investor that would provide long-term funding was important to us. With BGF’s financial backing and Ross Smith’s experience, we are excited and confident about becoming an even bigger business.”
Barry Jackson at BGF says: “In a short space of time Alex and the team have created a profitable business of scale with solid foundations. We look to back strong management teams with clear plans for how they want to grow their business – and we’re delighted to provide financial support to TRS’s future plans.
“In terms of BGF’s investment activity nationally, the North East has been one of our strongest regions over the past 12 months. Above anything else, I think this speaks to a renewed sense confidence among small and mid-sized businesses in the region.”