Clydesdale Bank has agreed a £6 million funding package with Stirling-based electrical equipment firm Dron & Dickson Ltd.
The company, which was established in 1927, specialises in the design, supply and maintenance of hazardous area electrical equipment to the oil and gas industry – operating in environments that potentially contain explosive vapors, gases and dust.
The financial deal will provide support for the company as it pursues business growth opportunities in the Middle East and African markets, as well as across new industries, including offshore wind farms.
Clydesdale Bank delivered the funding to the business as part of its Investing for Growth strategy - an initiative which helps successful businesses to grow.
Dron & Dickson Ltd currently employs over 200 staff and operates four offices across the UK - in Aberdeen, Stirling, Lowestoft and Hull.
The business provides products and services to a number of high profile energy companies including BP, Conoco Philips, Petrofac, Nexen and Balfour Beatty, and last year reported an annual turnover of £27 million.
The company’s managing director, Colin Rowley, is a member of the Entrepreneurial Exchange which works in partnership with Clydesdale Bank.
He commented: “Dron & Dickson is an established and recognised supplier of specialist products to companies operating in the oil and gas industries – both across the UK and overseas.
“With strong routes in the UK oil and gas industry, we felt it was important to concentrate on expanding our business operations overseas, particularly in energy-rich regions such as the Middle East and Africa.
“With renewable energy targets also on the rise, a key growth area for the business is providing electrical equipment necessary for the functioning of offshore wind farms.
“In looking to expand Dron & Dickson we felt it was important to work with the correct finance partner, and Clydesdale Bank had a lot to offer in supporting our ambitions for the future of the business.”
Adam Heslop, business development partner at Clydesdale Bank’s Edinburgh Financial Solutions Centre, said: “Dron & Dickson enjoys a first-rate reputation amongst oil and gas companies operating both in the UK and overseas.
“International markets offer ideal expansion opportunities for Scottish companies, and we are very pleased to be supporting this established company as it embarks on its internationalisation programme.
“Clydesdale Bank is looking forward to working closely with Colin Rowley and the rest of the team at Dron & Dickson Ltd as the business expands over the long term.”
Clydesdale Bank launched its new business support initiative – Investing for Growth – to help successful businesses grow and develop. The support package offers both new and existing business customers a dedicated planning service and a more flexible approach to lending.
Loan repayment holidays, interest-only repayments and extended loan and credit facilities are just some of the flexible support options available under the Investing for Growth initiative which also includes a dedicated financial planning service.