UK-based Hilltop Honey has successfully secured £10 million ($13.2 million) in funding from Santander, a leading banking group, to support its global expansion initiatives.
The comprehensive funding package encompasses stock finance, foreign exchange facilities, invoice finance, and the refinancing of a term loan. This investment aims to enhance the honey producer’s international trade efforts, particularly in key markets such as the US, the Middle East, and Australia, as stated by Santander UK.
As noted by Santander, “the additional funding will provide the working capital essential for accelerating growth, enabling Hilltop Honey to maintain larger stock levels and enhance recruitment efforts as the business continues to thrive.”
Hilltop Honey is already listed on prominent platforms such as the Walmart Marketplace and Amazon US through Infinity Blue. In the UK, the company supplies major retailers including Tesco, Sainsbury’s, Co-op, and online platform Ocado.
Scott Davies, the founder of Hilltop Honey, expressed his gratitude by saying, “The team at Santander has demonstrated an excellent understanding of our business, creatively supporting Hilltop with their US offering, namely with Walmart and Amazon Marketplace. As we look to the future, we are very happy to have a banking partner who can fully support our strategic objectives.”
Established in 2011, Hilltop Honey claims to be the second-largest honey producer in the UK by volume and the fourth-largest across Europe. The company employs approximately 130 people, and its facility in Newtown, Wales, has a processing capacity of around 30,000 tonnes of honey annually.
In a previous funding round in 2017, Hilltop Honey received £368,000 from NatWest Bank to expand production in new facilities. In its most recent financial results for the year ending August 31, 2023, the company reported sales of £33 million, up from £20 million the previous year. Looking ahead, it is projected to grow to £50 million by 2025 while maximizing profitability through investments in automation, according to Santander UK.
Moreover, the gross profit increased from £4.3 million in 2022 to £5.7 million last year, with operating profit rising 12% to £668,000.
