Government backing helps British firm export lifesaving medicines to Saudi Arabia
UK Export Finance (UKEF) – the government’s export credit agency – has provided insurance cover to Masters Speciality Pharma, a Hertfordshire-based specialist pharmaceutical company, enabling the firm to deliver contracts worth over £2.3m to supply lifesaving medicines to Saudi Arabia.
The Middle East is one of the largest and most strategically important markets for UK exports, and UKEF plays a central role in helping British businesses seize opportunities across the region. Masters Speciality Pharma’s story is a powerful example of how UKEF’s insurance can help British companies overcome the trade finance barriers that might otherwise prevent them from competing in this high-value market.
Based in Elstree, Masters was founded in 1984 by Dr Zulfikar Masters OBE. Its work centres on providing access to specialist medicines in more than 75 countries across the Middle East, Asia, Africa and Latin America.
Last year, the company secured two large export contracts to Saudi Arabia, totalling over £2.3m. The contracts were for the supply of a treatment for sickle cell disease and a specialised antibiotic against life-threatening infections.
To fulfil the orders, Masters needed insurance against non-payment and working capital to pay suppliers in advance – a frequent challenge for exporting SMEs. But the orders were larger than Masters’ credit facility with HSBC UK, which meant the business would have been unable to secure the contracts without additional finance.
UKEF stepped in with insurance against the risk of non-payment, giving HSBC UK the confidence to raise credit thresholds. This enabled Masters to meet the working capital requirements without affecting day to day operations.
Tim Reid, CEO at UK Export Finance said: “British businesses like Masters Speciality Pharma are doing vital work – not just for the UK economy, but for patients around the world who depend on access to critical medicines. These are exactly the kind of exports we want to support.
“UKEF is open for business, and we will continue to provide insurance and guarantees to UK exporters of all sizes as they take on new opportunities in the Middle East and across the world.”
Simon Clarke, chief operating officer at Masters Speciality Pharma, said: “A problem for SMEs like us is that you can get a certain amount of credit but when you hit the ceiling you can go no further. UKEF’s support made the difference – it meant we could take on these contracts that would otherwise would have been beyond our reach or would have stretched working capital to the detriment of the rest of the business.”
James Cundy, head of Corporate and Leveraged Finance at HSBC UK, said: “HSBC supports Masters Speciality Pharma in several markets across the globe. We know customers exporting overseas often struggle with freeing up working capital, so we were delighted to work with UKEF and increase our facilities to allow Masters Speciality Pharma to continue their vital work without disruption.”
UKEF remains committed to helping UK businesses of all sizes export with confidence to the Middle East. By 2029, UKEF aims to support UK firms to win over £12.5bn of new export contracts through its world-leading export finance offer.
This support forms part of the government’s broader plan to drive economic growth by boosting UK exports and helping British businesses access new international markets, with the Middle East firmly at the heart of that ambition.