Food and drink processing firm CRL Foods has secured £410,000 investment to add production lines to its North East factory.
The Gosforth-based business - which specialises in canning, sterilisation and pasteurisation - has received a mix of funding from existing shareholders, the North East Development Capital Fund (NEDCF) led by Maven and the North of Tyne Growth Fund.
It will go towards new equipment and production lines to service what the company calls "transformational" contract wins.
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David Lambert, CEO of CRL Foods, said: “Our decision to move to 100% aluminium cans, thereby replacing plastic as a fully sustainable way to eliminate packaging waste in a wide range of food and beverage applications in 2021, has enabled significant growth since the business was started in 2019.
"Our unique and patented brewing and retort processing methods have also made CRL Foods the first choice for RTD Coffee customers Worldwide, with ‘Geordie Coffee’ now being enjoyed from Singapore to Europe and the Middle East as well as the United States.”
The investment follows a £750,000 package from Maven last year, which led to the creation of 10 jobs. Since then CRL has appointed Rob Jones as finance director and Callum Ruffman - formerly of Lanchester Wines and Hike Coffee - as operations director.
CRL Foods positions itself as a fast and efficient thermal processing provider that uses specialist technologies to reduce the time traditionally required to sterilise and pasteurise food and drink.
The firm said it had seen strong demand since the reopening of takeaway coffee chains in the wake of pandemic restrictions. It also said major brands are looking to move part of their supply chains back to the UK due to the current inflation in haulage costs.
David Nixon, investment manager at Maven, said: “CRL Foods has enjoyed very strong growth in 2021 and secured a number of major contract wins, alongside its impressive customer base it supported when we first invested.
"Following new appointments to the management team and strong sales activity throughout the year we are delighted to further support David and the rest of the CRL Foods team at an exciting time in the company’s expansion.”
This latest funding package includes £250,000 from the NEDCF, led by fund managers Maven, £61,500 from shareholders and £98,500 from the North of Tyne Growth Fund, part-funded by the European Regional Development Fund programme.
