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BGF makes four investments so far in June

Business Growth Fund (BGF), which was established to help the UK’s fast growing smaller and medium sized businesses, today announced two investments totalling GBP4.4m into Springfield Healthcare Group, the largest independent provider of domiciliary care in Yorkshire and Humberside. 

The investments of GBP2.5m and GBP1.9m respectively were made into Springfield Homecare and Seacroft Care Village.
This follows BGF’s investments of GBP4 million into Primrose, a rapidly growing online retailer of garden products; and GBP3 million into the Cennox Plc group of companies (including ATM Parts and Mainet), which provides services to the ATM (cash machines) sector.  These four investments totalling GBP11.4m were completed during the month of June.
Stephen Welton (pictured), CEO of BGF, says: “To make four investments in high quality companies so far in June is very encouraging. We are now averaging two investments per month, which will continue to rise. This highlights growing demand on the part of the businesses that we want to support and keeps us on track to achieve our mid term goal of making 40 plus investments per year with a combined initial value of about GBP250m. 
“Equally, as our portfolio companies grow, they will need follow-on capital and BGF has been structured with this flexibility in mind. Assuming half our investee companies raise follow-on capital, this could easily and quickly add an additional GBP100m or so to our annual investment level.
“This level of investment will make a significant impact for small and medium companies across the country. There is clearly a real need for additional sources of funding and we can play a central role in expanding the pool of long-term capital available to growing companies.  We also believe that BGF can act as one of the catalysts for growth in the economy, not only for the companies that we back but also for the wider business community within which they operate.”

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