Ferovinum enters new chapter of growth after unlocking US$550m investment
Funding and supply chain platform Ferovinum is eyeing up international expansion in the US, Europe and Australia, after unlocking $550million of investment.
The boost has come through a securitisation programme – the first of its kind for the drinks industry, the company said – which increases its liquidity and access to credit, allowing it to expand as well as to offer competitive rates to its customers for funding and operational efficiencies.
The cashflow injection is expected to allow it to increase Ferovinum’s international reach to provide funding to drinks businesses, expanding and enhancing its existing UK services to businesses in the US and EU, followed by Australia later in the year.
The move follows previous asset backed lending syndicated deal with NatWest, Barclays and Shawbrook in 2023 and a round of equity funding. The securitisation process has been backed by Pollen Street Capital and a leading investment bank.
Ferovinum’s CEO and co-founder Mitch Fowler argue that the drinks industry is currently navigating “some of the most volatile trading conditions it has faced in the last 30 years”.
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“In order to thrive and take advantage of the opportunities this opens up in the space, businesses need access to flexible and capital-efficient funding solutions and an efficient global supply chain,” he said. “This deal helps support our objective to help the industry operate a more capital efficient supply-chain that allows them to focus resources on their core activities and improve margins and profitability across the value chain.”
Co-founder and CFO Dan Gibney added that the team “could not be more excited about partnering with Pollen Street Capital” as part of the first securitisation of its kind for the drinks industry.
The company called it a “game-changer” for the likes of the US domestic market and American operators that are export-focused, with Ferovinum’s ability to offer significant storage capacity in hubs located in California, Florida, New Jersey and Texas being “key” to the US expansion.
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