Graham's The Family Dairy secures funding for expansion
A Scottish dairy firm has announced plans to expand after securing £20m in funding support from Royal Bank of Scotland.
Graham's The Family Dairy, which is based in Bridge of Allan near Stirling, will use the cash to develop new products and invest in its brand.
The company has seen sales grow by about 20% a year for the past 15 years.
The new funding will be used to invest in its cream and butter markets and develop business south of the border.
The funding package consists of a £7.7m loan, an £8m finance facility and £4.8m worth of asset-based facilities from RBS subsidiary Lombard.
Graham's managing director Robert Graham said: "We are expecting to report a turnover in excess of £82m for the year ending March 2014 and currently employ 420 people, but we don't want to stop there.
"Provenance remains at the heart of our business strategy and we have expanded our farm base to support around 80 Scottish dairy farmers, ensuring we have sufficient quality produce.
"UK dairy product imports are higher than £2.5bn each year so we see definite opportunities to focus on and grow the home market."
Graham's was founded in 1939 and now produces more than 700,000 pints of milk a day.
The firm recorded sales of £68m in the year to the end of March 2013, up from £56m in the preceding 12 months.