Alphagraphics Targets Growth Following Strategic Acquisition of Judges
A Tees Valley print and marketing company has reported strong summer trading following a strategic acquisition backed by NPIF II – NEL Debt Finance, managed by NEL Fund Managers as part of the Northern Powerhouse Investment Fund II (NPIF II).
Alphagraphics, an award-winning design, print and marketing specialist based in Stockton, acquired complementary printing business Judges as part of a strategic move to broaden its offer, reach new customers and stabilise seasonal trading.
The acquisition of Judges was supported by a six-figure investment from NPIF II - NEL, as part of a larger funding round, which has also helped fund further growth plans, including the recruitment of a sales director and the launch of a targeted ecommerce platform. The move is expected to increase Alphagraphics’ annual turnover by 15%.
Founded in 1902, Judges has built a long-standing reputation for quality products, including printed gifts, postcards and souvenirs.
Judges’ operations have now been integrated into Alphagraphics’ Stockton facility, streamlining processes and reducing operating costs. With seasonal fluctuations now more balanced, the business has also reduced its reliance on temporary staff, supporting a larger permanent workforce.
The deal is the latest in a series of acquisitions by Alphagraphics. Four years ago, the company acquired former long-standing client Class Fundraising, before adding the sign and engraving division of fellow Stockton-on-Tees business NSign earlier this year.
Andrew Dalton, Managing Director at Alphagraphics, said: “The acquisition of Judges is an important step in our long-term growth strategy, bringing together two well-established businesses with complementary strengths and shared values around quality, service and customer relationships.
“Bringing Judges into Alphagraphics gives us a stronger platform to reach new customers, broaden our product range and create a more balanced trading profile across the year. NEL’s support helped us move quickly and confidently, and we’re excited about the opportunities this creates for the business, our team and our customers.”
Jane Siddle, Senior Investment Executive at NEL, led on the investment. Jane comments: “Alphagraphics is a strong example of an ambitious business using strategic acquisition to build scale, strengthen its market position and create a more resilient operating model.
“The management team has a clear plan for growth, supported by a track record of successful acquisitions and a strong understanding of its customer base. We’re pleased to support Alphagraphics as it continues to invest in its future and expand its presence across the North East and beyond.”
The investment opportunity was referred to NEL by Carolyn English, Relationship Director at Lloyds. Carolyn adds: “Alphagraphics is a fantastic example of the ambition and entrepreneurial spirit we see from businesses across the North East. Growth often requires businesses to draw on different forms of finance and support, and we’re proud to play a role in connecting our customers with trusted partners and financing opportunities that can help them achieve their ambitions.
“We’re pleased to have connected Alphagraphics with NEL and look forward to seeing how the business builds on this latest investment as it continues to grow.”
The legal side of the transaction was supported by Azets and Knights acting for Alphagraphics, and Mincoffs Solicitors LLP acting for NEL.
Sarah Newbould, Associate Director at the British Business Bank, said: “Investment can play an important role in helping established businesses adapt, grow and create a more resilient future. It’s great to support Alphagraphics on its growth plans through NPIF II investment as they continue to strengthen the business in the North East. By providing access to finance, NPIF II is helping businesses invest for the future, create new opportunities and contribute to sustainable economic growth across the region.”
Operated by the British Business Bank, the £660m Northern Powerhouse Investment Fund II covers the entire North of England and provides loans from £25,000 to £2m, alongside equity investments of up to £5m, to help smaller businesses start up, scale up and stay ahead.
The fund aims to drive sustainable economic growth by supporting innovation, creating local opportunity and increasing the supply and diversity of finance available to smaller businesses across the region. It helps address barriers to accessing finance and supports businesses that may otherwise struggle to secure investment.
NEL Fund Managers also manages NPIF II – NEL Smaller Loans, which provides investments of between £25,000 and £100,000 to support the growth ambitions of emerging and established businesses.
For more information about NEL Fund Managers, visit NEL Fund Managers or contact the investment team on 0345 369 7007.