Hercules secures £25 million funding package from IGF

HERC

Hercules plc (LON:HERC), a leading UK infrastructure and construction services group, has announced that it has secured an enhanced funding package with IGF Business Credit Limited (IGF), comprising an increased invoice discounting facility of up to £20 million together with £5 million of term loans, further strengthening the Group’s funding platform to support its continued growth strategy.

The new three-year ID Facility increases Hercules’ existing funding line by 25%, from £16 million to £20 million, providing substantial additional working capital capacity to support the Company’s expanding operations, growing order book and increasing customer demand across the UK infrastructure and construction sectors.

In addition, Hercules has secured £5 million of term loans, of which £4 million will be used to fund the final earn-out payment to the original owners of Advantage NRG Ltd, following its successful acquisition in June 2025. This enables the Group to meet its acquisition commitments while preserving cash to support ongoing investment and future growth opportunities.

Brusk Korkmaz, Chief Executive Officer of Hercules, said: “Securing this enhanced funding package with IGF is supportive to our continued strategy. The increased working capital facility provides additional capacity to support our continued growth across the UK infrastructure and construction sectors, while the term loans enable us to meet our obligations relating to the Advantage NRG acquisition.

“We are pleased to extend our relationship with IGF and believe this facility gives us the financial flexibility and headroom required to execute our strategy and capitalise on the opportunities we see across our markets.”

Steven Chait, Chief Executive Officer of IGF, comments: “We are thrilled to partner with Hercules and provide the financial support to enable Brusk and the team to continue their impressive growth trajectory. The tailored lending solution will empower the future growth plans of the business, and we look forward to supporting this journey.”

Key terms of the ID Facility

·    Under the terms of the ID Facility, the Company’s credit limit is £20m, increasing from the previous limit of £16m, renewable in three years

·    The increase is reflective of the growth in demand across all business divisions

·    The funds are for use across both areas of the Company’s activities: Labour Supply and Construction Services

Term Loans

·    £2.5m amortising loan repayable over 5 years, at 5% above base, variable interest rate

·    £2.5m loan repayable at the end of 5 years, at 5% above base, variable interest rate

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