GE Capital recently announced that it would be granting $15 million to Pental Ltd to help the company finance its restructure.
Pental Ltd is the largest manufacturer of soap in the entire country and is responsible for such iconic brands as Sunlight, Velvet and White King.
The company has been in business since 1954 and has seen many dramatic changes along the way.
“It’s great to see an Australian mid-market manufacturing firm restructuring for growth,” said Paul McCann, GE Capital A&NZ Managing Director, in a September 25 statement.
He added that GE Capital was using a “asset-based lending approach” to provide Pental Ltd with the funding it needs to see this restructure through.
Pental Ltd isn’t the only manufacturer thinking about expanding its operations in the near future. A recent survey conducted by GE Capital shows that “despite a weakening Australian dollar, manufacturing still [faces] a low growth outlook”.
Mr McCann said this growth will be centred in Australia’s eastern-most states, such as Victoria and Tasmania. This is good news for Pental Ltd, which is based in Shepparton, Victoria.
However, there are growing concerns among Australian manufacturers about energy prices, which are continuing to increase, and the current economic climate.
Nevertheless, a range of manufacturers will no doubt follow in Pental Ltd’s footsteps.
If you’re a manufacturer and thinking about restructuring or expanding your business, you should also spare a thought for your manufacturing insurance.
Your current policy should be reviewed and updated if you are making any changes to the way you run your business, such as employing new people or offering a new product or service following your restructure.
If you would like to update your manufacturing or small business insurance, get in touch with the team at MGA Insurance Brokers today.