Investors helping to develop Tyneside science and business park Newcastle Helix are poised to pump a further £60m into the site.
L&G first pledged £65m investment into the science park in 2016. The 24-acre hub is a partnership between Newcastle City Council, Legal & General and Newcastle University, with the partners hoping it will help create thousands of jobs, prime office and research space, and hundreds of new homes.
Six years after bankrolling the building of office blocks The Lumen and Spark – at the time, the largest property deal in the city for decades – the institutional investor is keen to support further developments at the site, starting with £60m on a build-to-rent housing scheme comprised of two towers. There is also the potential to support further buildings at Helix, including potential office space and research space, depending on what is needed to help bring the council and university’s vision to life.
Andrew Kail, CEO of Legal & General Retirement Institutional (LGRI), announced the planned additional investment during a visit to the city with Newcastle-born Aysha Patel, origination director at LGRI and Ben Rodgers, head of regeneration, to meet members of Newcastle City Council and department heads at the University of Newcastle, to see first hand the impacts of the group’s investment so far.
He said: “The great thing about this site is that it feels like much more than a collection of buildings. It’s been really good to see the buildings and how they’ve got more connectivity to the west end of the city. Seeing it come alive as a community and a place has been great - and there’s lots more to do."
Injection moulding firm Formula Plastics has renewed its longstanding relationship with NEL Fund Managers as part of its growth plans, 26 years after the Newcastle investment organisation helped to launch the business.
The company has brought in a £100,000 investment from the North East Small Loan Fund Supported by The European Regional Development Fund via the Recovery Loan Scheme as it looks to regain ground lost during the pandemic.
The Newton Aycliffe-based firm manufactures high tolerance precision components which are used by companies in a growing range of sectors, including automotive, engineering, lighting and electronics.
Having diversified its customer base and enhanced its business development resources, Formula Plastics is now aiming to take its current £2m turnover up to around £4m by the end of next year, with up to 20 new jobs set to be created as the business grows.
Formula Plastics’ relationship with NEL goes back to 1996, when it provided start-up funding to get the business going and this latest, Small Loan Fund investment is the seventh time that the two organisations have worked together, with Formula having successfully exited their most recent agreement in 2015.
John Suggate, chairman at Formula Plastics, said “In common with many companies, the last few years have proved challenging for us, but we’re now see signs of improvement across all the sectors in which we’re active and want to capitalise on the opportunities this provides.
“The high standards to which we’ve always worked and the quality of the work that we deliver are being recognised and welcomed by clients in a growing range of industries, and we’re seeing our order book filling up across all the markets in which we’re active.”
County Durham sustainable tech firm Premier Tech is set to grow its client base after snapping up a Surrey business in an undisclosed deal.
Premier Tech, which has the head office for its water and environment division in Peterlee, has acquired Envirowise in Camberley, which specialises in servicing and maintaining residential and commercial wastewater treatment plants.
The new acquisition will see Premier Tech expand its commercial offer for client solutions in the UK while ramping up the development of its European service network.
Software company Sage announced the purchase of UK-based Futrli.
Sage completed the acquisition of the UK cashflow forecasting tool, which uses algorithms to provides forecasts based on data-analysed historical trends, using invoices, bills, journals, cash, and payment data – enabling customers to visualise the past, present, and future of their business.
Neal Watkins, EVP Product at Sage, said: "Futrli will form an important role in the way we support accountants and their clients to gain the visibility needed to deliver great advisory services - all as part of our Sage for Accountants solution."
North East manufacturer Clayton Glass has acquired factories in Scotland and England from French construction materials giant Saint-Gobain in a move it says will ramp up the company's production capacity.
The undisclosed deal sees Stanley-based Clayton, which employs about 450 people making glass units for the residential market in the UK, take over Saint-Gobain UK & Ireland facilities in Motherwell and Canterbury.
It means the firm will now be able to produce more than 65,000 units a week, including a mix of standard insulated glass units and specialist roof and door products.
About 140 staff at the two factories will join Clayton, which says the sites turnover roughly £17m per year - increasing the Clayton business by 35%.
Engineering consultancy Hydrock has bought regional rivals 3e Consulting Engineers in a move it says will expand its reach across the north of England.
3e, which operates from bases in Newcastle and Wakefield, has a 30-strong team that provides consultancy in civil engineering, geo-environmental and structural engineering for property projects in the UK and overseas.
Hydrock employs 700 people across offices in the UK and New Zealand, including sites in Leeds and Newcastle, and said the undisclosed deal will allow 3e to grow further.
Dr Brian McConnell, Hydrock CEO, said: “This is a great strategic move for both Hydrock and 3e. As we continue to expand at pace across the UK and internationally, this will strengthen our offer in key territories in the north of England, including Yorkshire, which we see as an area for key strategic growth as levelling-up opportunities unfold across the country.
"It also enables 3e to realise their own growth plan which is fuelled by the strong relationships they’ve established over the past 21 years with a high calibre portfolio of clients, including Aldi, Keepmoat and Kier.
