Bank provides sweet deal for cake producer

PARK Cake

PARK Cakes is looking to pursue further growth and investment opportunities, after obtaining a multi-million pound funding package from Yorkshire Bank.

The Oldham-based company manufactures cakes and desserts for leading retailers including Marks and Spencer. It said the funding package will provide greater financial flexibility and assist its growth aspirations.

Established almost 80 years ago, the company has two production sites in Oldham and Bolton. It employs about 1,200 permanent staff and up to 1,000 seasonal staff at peak production times, such as Christmas.

Yorkshire Bank is supplying Park Cakes with a comprehensive funding package, including refinance and asset finance, aimed at delivering growth.

The deal was delivered by Neil McLoughlin, a director in Yorkshire Bank's Manchester-based specialist and acquisition finance team. and Andy Cole, director in the bank's working capital solutions team, also based in Manchester.

Paul Morton, finance director at Park Cakes, said: "After a competitive process, we can confirm that we have appointed Yorkshire Bank as our new funding partner. What impressed us most about Yorkshire Bank, was its ability to offer a portfolio of products. We met several retail banks and asset-based lending providers but none, except Yorkshire Bank, were able to offer, under one roof, all the facilities we require.

"The funding package will enable us to further invest in the business and continue with our aggressive growth plans. We have exciting developments in the pipeline over the next two to three years."

Owen Malton, Yorkshire Bank's regional head of specialist and acquisition finance, said: "Park Cakes has exciting growth plans and we look forward to working with the firm's team."