Hercules (AIM:HERC), the AIM-listed UK infrastructure and construction services group, has secured an expanded funding package with IGF Business Credit totalling £25 million, comprising a £20 million invoice discounting facility and £5 million in term loans.
The invoice discounting facility represents a 25% increase on the previous £16 million limit and runs for three years, providing working capital headroom across Hercules' two operating segments, Labour Supply and Construction Services.
Of the £5 million in term loans, £4 million is earmarked to fund the final earnout payment to the original owners of Advantage NRG, acquired in June 2025, with the remaining £1 million available for general corporate purposes.
The two term loans are structured in equal £2.5 million tranches: one amortising over five years, the other a bullet repayment at the end of five years, both carrying a variable rate of 5% above base rate.
Chief Executive Brusk Korkmaz said the package gives Hercules "the financial flexibility and headroom required to execute our strategy and capitalise on the opportunities we see across our markets."
The three-year ID facility is renewable at the end of its term, with the term loans running to a five-year maturity.
