A Tyneside engineering firm is planning to grow its operations and double its turnover after securing a six-figure investment from the North East Growth Capital Fund.
Sustinere Solutions specialises in installing large-scale renewable energy solutions such as district heating systems and combined heat & power schemes in both industrial and domestic settings that reduce energy costs and consumption, cut carbon emissions and help tackle fuel poverty.
The Newcastle-headquartered firm has so far predominantly worked on large projects in London and the South East, but as part of its drive towards becoming a truly national operator, it is now looking to increase its work in its native North East, as well as across in the North West.
To help provide the working capital required to fund this move and recruit the senior personnel required to make it a success, Sustinere UK has turned to NEL Fund Managers for a £350,000 Growth Capital Fund investment.
Founded in 2015, Sustinere works with a wide range of housebuilders, developers and manufacturers, and is aiming to double its current £2.5m turnover by the end of 2021, with a number of new jobs to follow as a result.
It shares the financial risks associated with large projects by offering clients access to bespoke Energy Saving Company (ESCo) finance and Power Purchase Agreements which enables them to benefit from energy efficient improvements and on-site generation technology without having to allocate all the capital required up front.
Steve Wilkinson, co-founder and managing director at Sustinere Solutions, said: "The renewable energy technologies that we specify and install make energy efficiency and cost savings both accessible and affordable for our clients, and we've quickly built up an impressive project portfolio that clearly demonstrates how effective our ideas are in practice.
"Sharing the financial side of these schemes with our clients provides an added incentive for them to specify renewable energy solutions and means they receive the benefit of energy and operational savings immediately.
"We want to become a truly national operator, and after the success we've enjoyed in London and the South East, it's a natural next step for us to now build our presence in the North East and North West as part of this process.
"The NEL team's flexible, supportive approach made the investment process a positive experience for us, and the ongoing relationship we have with them will be important as we implement our growth plans."
The North East Growth Capital Fund has been designed to create around 790 jobs in more than 70 regional firms over the life of the programme and offers unsecured investments of up to £500,000 to established businesses looking to realise their growth potential.
NEL Fund Managers is actively looking for potential investees from Tyne & Wear, Durham and Northumberland to put their investment ideas forward.
Mike Guellard, investment executive at NEL Fund Managers, added: “Sustinere's expertise is helping to support the UK's transition towards a low carbon economy and the impressive success of their business model provided us with a strong investment proposition."
The overarching £120m North East Fund will provide financial support for more than 600 businesses, creating around 3,500 jobs and delivering a legacy of up to £80m for further investment into the region.
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