Shawbrook has delivered a £44m Asset Based Lending (ABL) facility to support the carve-out acquisition of Ecobat Resources UK Ltd by Splitstone Capital LLP and to fund the company’s next phase of expansion.
Following the transaction, the business will return to its previous trading name, HJ Enthoven.
The funding package will allow HJ Enthoven, the recycle firm for lead batteries, to strengthen its operational platform and continue investing in infrastructure.
The company operates across three UK sites and processes up to 150,000 tonnes of scrap lead batteries annually, producing high-purity recycled lead for a range of industrial sectors.
It also runs a closed-loop recycling system that recovers more than 99.97% of lead content.
Splitstone Capital, founded in 2024, specialises in acquiring non-core divestments across the UK and Ireland industrial and business services sectors.
The carve-out forms part of its strategy to support established businesses with strong environmental and operational credentials.
Shawbrook’s ABL structure draws on HJ Enthoven’s asset base to optimise working capital and provide flexibility for investment.
The bank said the deal reflects its ongoing commitment to backing businesses with strong ESG practices and clear strategic plans.
Peter Foxwood, managing partner of Splitstone Capital, said: “HJE is a strongly-performing market leader with a vital and enduring role in the circular economy.
“We are excited to support the managing director, John Manning, and his team as they build on the company’s impressive heritage.
“This transaction exemplifies the kind of complex carve-outs we actively seek out, where focus, pace and creativity are essential to deliver a successful outcome.”
John Manning, managing director of HJE, said: “This agreement marks an important milestone for our people and customers. Splitstone’s pragmatic and supportive approach stood out throughout the process.
“With their backing, we’ll be well placed to invest in our operations, enhance service and continue our leadership in safe, sustainable lead recycling.”
Foxwood added: “This transaction has been central to HJE’s plans and Shawbrook has played a key part in making this happen.
“The Shawbrook team’s tailored approach and industry insight enabled us to unlock value and invest confidently in HJE. The highly flexible Asset Based Lending facility aligns with our growth ambitions and sustainability objectives.”
Oliver Sutton, director, asset based lending at Shawbrook, said: “HJE represents the highest standards in British manufacturing, sustainability and innovation.
“Their operational excellence and market leadership make them an ideal partner for Shawbrook, and we look forward to supporting their next phase of development.”
Oliver Jenkins, director, asset based lending at Shawbrook, added: “The structuring capability we’ve created in our Asset Based Lending solution provides the flexibility and strategic support needed for more complex, multi-faceted transactions, such as Splitstone’s recent carve-out acquisition.
“This facility will enable HJE to strengthen their market position, as well as continue with their growth and sustainability journeys.”
