Eos Leisure, a group of companies predominantly working in the electronic cigarette industry, has secured a £608k facility from ThinCats to fund growth as a result of soaring market demand.
Based in Brentwood, Essex, Eos Leisure is unique in that outside of big tobacco, they are one of only two companies in the UK to have brand, manufacturing and science under one banner. The business, which was established May 2013 and employs 35 staff across three sites, was one of the first to market in the UK and has established itself as one of the leading experts in the industry. Their brands are sold in more than 300 locations and they have completed regulatory work for more than 13,000 SKUs for third party companies.
Simon Manthorpe, group chief executive at EOS Leisure Ltd commented:
“We had multiple loans and asset finance that had built up over two-three years and we needed to consolidate those loans to reduce interest and monthly payments. The loan from ThinCats significantly reduced our interest rate and cut monthly outgoings by £35k.
“The originator, who managed the loan process for Thincats, was great. He was very amenable and helpful throughout and steered us through the process to completion. This refinance was part of a wider piece including an equity raise. This combination will allow us to grow the business to a projected £21m a year in year three.”
Dominic Roberts, director at TML Finance and Advisory said:
“This transaction is an excellent example of how ThinCats listens to clients to deliver the right package. They went above and beyond, enabling the client to benefit from considerable savings. They provided an increased quantum of funding to allow the business the freedom to push for continued growth and also took a commercial view on security, by removing charges over personal property.
“The fact that ThinCats are there to support SMEs is a key factor for us. Their team has a positive commercial viewpoint and they always look to see how they can make a deal happen.”
Andrew Tapsell, ThinCats origination manager, South Coast added:
“We are delighted to support Eos Leisure in the next phase of its development and to provide a funding package aligned with the objectives and working capital needs of the business. With the global vapour products market now estimated to be worth £17.1bn and rising, we look forward to helping Eos Leisure to realise its exciting potential for growth.”