The events specialist has beaten international competition to win a contract working on the Jakarta Velodrome for the Asian Games 2018.
London-based ES Global has secured a lucrative contract worth £13.6m to work on the Asian Games 2018 after receiving financial support from UK Export Finance (UKEF).
The group is a project management company which specialises in the delivery of high-profile sports and entertainment events around the world.
International contracts have been integral to the company’s success since its launch and today, around 80% of its business is with overseas clients.
With previous successful projects including the Rio Olympic Games and Sochi Winter Olympics, ES Global has found success in markets not usually targeted by UK companies.
ES Global was invited to bid on another high-profile contract, this time in Indonesia, where there was an opportunity to work on the Jakarta Velodrome for the Asian Games 2018.
The contract itself would be subject to a tight delivery schedule, but ES Global won the contract against international competition, thanks to its impressive track record working on similar prestigious sporting events.
Another factor was ES Global’s ability to offer attractive payment terms to the buyer, making its bid more competitive. To do this, ES Global would usually take out export insurance, which can protect companies against the uncertainties of selling overseas, in turn allowing them to offer their buyers flexible credit terms rather than requiring payment upfront.
The £13.6m Indonesian contract – representing half of ES Global’s total contract working on the Asian Games – was a huge opportunity for ES Global to boost its revenue and establish itself in a new, fast-growing market. But the company struggled to secure an export insurance policy to cover the deal from the private market.
The company was in luck however when it sought the support of UK Government-backed UKEF, which provided the solution by offering an Export Insurance Policy for the Jakarta Velodrome contract, as well as a guarantee on a bank loan to secure the cash the company needed to fulfil the contract under UKEF’s Export Working Capital Scheme.
This meant ES Global had both the confidence and capital it needed to offer its buyer the competitive terms required to secure the multi-million dollar project.
Olly Watts, director of ES Global, said: “The support we’ve received from UKEF has been brilliant. This is the third project UKEF has helped us on and without them, I’m not sure we could’ve taken on those contracts. UKEF makes the risks of exporting much more manageable and I can’t recommend their products enough.”
Julian Lynn, export finance manager for London (City and East) at UKEF, added: “ES Global is a great example of a UK company making the most of international trading opportunities that are out there, and I’m proud UKEF is able to support them in their exporting ambitions, time and time again.”