Gloucestershire ladder manufacturer merges with South Welsh counterpart

Published by

Nicky Godding

Lyte and LFI merge

A Newent ladder manufacturer has merged with Lyte, a Swansea company which makes ladders and other access equipment

Specialist asset-based lender Secure Trust Bank Commercial Finance provided a £6.5 million facility to Lyte to support the merger.

Swansea-based Lyte specialises in premium-grade aluminium and glass fibre ladders and other access equipment with more than 75 years of experience in the industry. In 2019 it secured a £5 million facility from Secure Trust Bank Commercial Finance to support an investment by private equity house Breal Capital, which allowed it to overcome trading challenges.

Newest-based LFI produces aluminium, steel, timber and fibreglass access equipment for businesses. It primarily operates in the UK but is a supplier for industries in Europe and beyond.

Combining two of the market's biggest players, the merger is a significant event for the access equipment industry, helping both businesses benefit from increased economies of scale.

In the short term both businesses will continue to operate independently with a medium-term plan to integrate the two businesses.

Michael Walton, Director at Lyte, said: "The merger of Lyte and LFI marks a new milestone in our journey and we are excited about the opportunities it will bring. We've already achieved strong growth as a business in key strategic markets, and this merger positions us well to continue capitalising on this. With the support of Breal Capital and Secure Trust Bank we've been able to navigate the merger process with ease. By combining both companies, we are able to accelerate product development and continue providing customers with a market-leading service, which is the most important thing to us."

Debbie Partridge, Regional Sales Director at Secure Trust Bank Commercial Finance, said "Having worked with Lyte and Breal in 2019, we are delighted to continue our relationship and support them in reaching new heights through the merger with LFI. This once again highlights the success of ABL and private equity working together and unlocking working capital to help businesses flourish. I look forward to working with Breal Capital and Lyte in the future, continuing to reach new milestones."

Mick Welden at Breal Capital said: "We are thrilled to have completed this transaction with Secure Trust Bank and Lyte, which combines two of the access equipment industry's market leaders. Since joining our portfolio, Lyte has demonstrated real growth potential, and the addition of LFI will truly complement its existing offering. Secure Trust Bank's financing solution will allow us to focus on integrating both businesses in the best way and continue to offer customers market-leading access equipment."

Nicky Godding

Nicky Godding is editor of The Business Magazine. Before her journalism career, she worked mainly in public relations moving into writing when she was invited to launch Retail Watch, a publication covering retail and real estate across Europe. After some years of constant travelling, she tucked away her passport and concentrated on business writing, co-founding a successful regional business magazine. She has interviewed some of the UK’s most successful entrepreneurs who have built multi-million-pound businesses and reported on many science and technology firsts. She reports on the region’s thriving business economy from start-ups, family businesses and multi-million-pound corporations, to the professionals that support their growth and the institutions that educate the next generation of business leaders.