A SCOTTISH firm that operates ships used to ferry goods to oil and gas platforms is increasing its fleet size by two-thirds to cash in on booming activity in the North Sea.
Aberdeen-based Fletcher Shipping has acquired two platform supply vessels to add to the three it already had. The investment has been made with the support of a £14 million funding package provided by Royal Bank of Scotland, Maven Capital Partners and the Scottish Loan Fund.
This signals financiers' enthusiasm for the oil and gas services sector at a time when the Scottish industry is attracting attention from investors from around the world. Services firms that get their offering right can expect rapid growth.
Fletcher increased turnover to £9.5m in 2012, during which it acquired another supply vessel with support from the Scottish Loan Fund. The fund is managed by Glasgow-based Maven Capital Partners.
The family-owned Fletcher Shipping generated £8.4m turnover in 2011.
"Fletcher Shipping is making the most of the opportunities which exist in the booming oil & gas industry in the North Sea," said Jock Gardiner, of Maven.
In the latest funding round, Royal Bank of Scotland provided £8m debt. Maven client funds provided a £4.5m five-year term loan and the Scottish Loan Fund provided £1m to add to the £4m it provided in 2012.
The Scottish Government-backed loan fund was established to provide debt for promising businesses.
Kerry Sharp, head of the Scottish Investment Bank, said: "Fletcher Shipping is exactly the kind of company the Scottish Loan Fund was established to support - it has excellent potential."
She said the fund is a flexible product that acts as a catalyst for further investment.
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