Leading international and independent recruitment agency Orion Group (Orion) has agreed a £62m funding package with the Royal Bank of Scotland (RBS) as it looks to expand internationally into key markets in South America and Asia Pacific.
Orion operates across a number of engineering industries, ranging from renewables to aerospace and construction to mining, but at the core of its business is the oil and gas sector. Last year, Orion celebrated its 25th year and has grown significantly in that time. In 2012 the firm helped supply more than 5,800 personnel and its annual turnover grew to £353m. The UK-headquartered group has operations worldwide, including across the EMEA region, North America, Papua New Guinea and Australia, but is looking for further international exposure to capitalise on strong business momentum.
The new deal, arranged through the bank’s Corporate & Institutional Banking and Invoice Finance teams in Aberdeen, sees RBS become the sole-provider of the firm’s £62m working capital package. With its significant knowledge of the oil and gas market in Aberdeen, RBS has developed a funding package tailored to Orion’s requirements as it increases its international footprint, including a £58m asset-based lending facility, secured against the company’s global multi-currency receivables.
Alan Savage, chairman, Orion Group, said: “We’re delighted with the bespoke package drawn up by the RBS team in Aberdeen which will allow us to continue to grow internationally. RBS took the time to truly understand our business model and we’re thrilled with the finance they’ve managed to offer us. These are exciting times for us and we’re looking forward to developing a strong relationship with RBS.”
Lorna Bell, director, Corporate Development at RBS Invoice Finance, said: “Orion is a well-known and highly regarded business in the Scottish market place, with a strong management team, solid financial performance and international reach. We are delighted to have structured a combined solution that meets the need of Orion Group and welcome on board a very high profile customer to the bank.”
Derek Busby, regional director of corporate coverage, RBS Corporate & Institutional Banking in Aberdeen, said: “Orion is well placed to capitalise on strong demand for skilled professionals in a range of key, global sectors. We’re pleased to be embarking on this new partnership with the firm, using our knowledge and insights into the international energy sector to deliver a financial package of real value to Orion. We’re proud that the firm’s management team has recognised our deep, longstanding knowledge of the oil and gas market and that we were the bank they chose to take them to the next level.”