ABN AMRO leads £45m ABL facility for Sigma Pharmaceuticals

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Sigma Pharmaceuticals is a Watford based, family-owned business, which has been serving Independent Pharmacies, Dispensing Doctors and Hospitals for over 40 years. They are recognised as an industry leader, being one of the largest shortline pharmaceuticals wholesalers in the UK.

With the Pharmaceutical industry rapidly changing over the years, the next generation leadership team at Sigma have embraced their growth journey, adapting to continually thrive. To do so, they required a finance partner that would guide their transition by providing an improved funding structure to support their ongoing working capital requirements.

A competitive search process facilitated by KPMG as lead advisor, saw ABN AMRO Commercial Finance replace the incumbent lender, with a £45m Confidential Invoice Discounting solution, together with Leumi ABL.  The facility includes an advance rate of 90% of eligible debtors and £3m sub-limit for a property term loan which can be drawn at any point throughout the facility to provide additional headroom if required.

Bhavin Shah, Chief Financial Officer at Sigma Pharmaceuticals, said,

We are pleased to have partnered with ABN AMRO and Leumi ABL on a flexible and reliable asset-based funding solution that will enable us to continue to shape our business and support our valued clients.

Katharine Weeden, Business Development Director at ABN AMRO Commercial Finance, said,

The team at ABN AMRO Commercial Finance are delighted to have been given the opportunity to work closely with the management team at Sigma and to have acted as lead agent with Leumi ABL to provide Sigma with a more suitable funding structure that will support their continued growth.

Ryan Whitworth, Regional Sales Director at Leumi ABL said,

Leumi ABL are pleased to be part of Sigma Pharmaceuticals continued growth and to be working with the team at ABN AMRO Commercial Finance. It has been a pleasure getting to know the management team at Sigma and we look forward to working in partnership with both as the business develops further.

Marc Finer, Debt Advisory Director at KPMG UK, added:

It has been a pleasure to work with Sigma and its new banking partners to deliver a successful asset-based refinancing for the business. We wish the company every success with its future plans.