New loan facility replaces £20m loan and overdraft facility with Clydesdale Bank
Independent whisky distiller BenRiach has secured a new £27 million funding package with the Royal Bank of Scotland.
The Edinburgh-based distiller said the new financing would go towards investment in stock and plant and acquisitions "if the opportunity arises".
BenRiach reported a number of new bottling contracts in year end results posted last September, adding s1.1 million to bottom line results.
This came following its acquisition of a bottling plant based at Newbridge on the outskirts of Edinburgh from Pernod Ricard in July of 2011.
Sales last year were relatively flat at £15 million for the year to December 31, 2010 and pre-tax profits fell 17 per cent to £2.66 million.
In its 2010 results, the most recent full year results posted by the company, its bank loans and overdrafts rose to £20.5 million against £17.8 million the previous year, which included a £15 million facility with the Clydesdale Bank on average interest terms of 5.5 per cent.
The new loan facility with RBS replaces the Clydesdale Bank credit facility.
Billy Walker, managing director of BenRiach, said: "Having filled over 10,000 casks of single malt in 2011 for the first time since the distillery changed ownership in 2004, this new funding facility will enable us to expand our business to meet the worldwide demand for our highly regarded whiskies."
The Speyside distillery, built by John Duff in1898, was mothballed by its then owner, Pernod Ricard, in 2002.
South Africans Geoff Bell and Wayne Keiswetter teamed up with Scotch whisky expert Billy Walker and bought the distillery in 2004.
The distillery pickled up its first gold medal win at the 2006 International Wines and Spirits Competition for its16-year-old BenRiach malt.
A year later they won the Distillery of the Year prize at the 2007 Malt Advocate Whisky Awards.
Then last year BenRiach Distillery's 12-year-old malt took top prizes at the International Wines and Spirits Competition.
The BenRiach Distillery Company also owns the GlenDronach distillery, which it bought from Pernod Ricard in 2008.