Newport-based SPTS Technologies, a supplier of advanced wafer processing solutions for the global semiconductor industry, has secured a $125m refinancing package from Lloyds Bank Commercial Banking and Barclays.

The business, which is based at the Coldra, Newport, is part of NASDAQ listed Orbotech Ltd.

The company works with the world’s leading semiconductor and microelectronic device manufacturers and research institutions, employing around 500 people globally with approximately 300 employees based in Newport.

The finance package is one element of a global debt and equity transaction designed to strengthen Orbotech’s overall balance sheet and to provide working capital for SPTS to use in expanding operations.

Kevin Crofton, president of SPTS Technologies and corporate vice president of Orbotech, said: “The UK funding package is a firm indication of how highly regarded SPTS is held by both the Group and external parties, and a demonstration of the strength of the UK business.

“I am delighted that my team and trusted partners were able to meet the tight timescales required to match Orbotech’s reporting requirements, and we are pleased to have Lloyds Bank and Barclays on board supporting the business going forward. This debt raise provides additional financial flexibility to expand the business, to continue to develop new and innovative technologies and to increase our competitive edge”.

Jason Evans, area director at Lloyds Bank Commercial Banking, said: “SPTS Technologies is one of the standout businesses in South Wales and has experienced strong growth in recent years, contributing significantly to the local economy and creating job opportunities for people across the area.

“Our local team of Nick Stork, relationship director and Paul Wood, strategic debt director were key to us delivering the desired solution for the business. This is a great demonstration of our commitment to backing ambitious mid-market companies like SPTS and providing them with on-going support.”

Simon Vittle, director at Barclays Corporate, said: “By really understanding the business and the industry sector, Barclays has been able to deliver a funding package to support the continued growth of SPTS. This deal is one of the largest funding packages in Wales this year and shows our confidence in the management team to enable a club deal of this size to be put together between Barclays and Lloyds Bank.

“We are extremely pleased to deepen our banking relationship with one of Wales’ biggest global businesses operating in hi tech, fast growth markets using local management talent to deliver on ambitious growth plans. With the astute and strategic management team, the company is well positioned to retain its leading position within its chosen markets.”

Lee Everson, Barclays head of large corporate banking in Wales, said: “As a long-standing client of Barclays in Wales, we’re delighted to have supported SPTS and Orbotech with this funding package. Our ability to deliver on tight-timescales is testament to the quality of both the products and management teams within SPTS, as well as our commitment to local business. This funding provides the capacity and flexibility to drive further growth and innovation across the group.”

The company was advised on the deal by Tony Trussell from EY and Omar Al-Nuaimi and Tom Bussy at Osborne Clarke. Vanessa Heap at Pinsent Masons advised Lloyds Bank and Barclays.