Subsea engineers Ennsub have secured £1.5m of development capital from the Scottish Loan Fund (SLF).
The suppliers of subsea technology will use the funding, which is backed by the European Regional Development Fund and the Scottish Investment bank, to develop its deepwater winch technology.
Ennsub operates a Stockton on Tees engineering and assembly facility in addition to its Aberdeen headquarters and a Spanish base in Vigo.
The firm said the investment would also be used to expand its assembly facility and workforce in the UK.
Scott MacKnocher, managing director at Ennsub, added: “We are very pleased to have secured this funding package aimed at supporting Ennsub through its next stage of growth and one which allows us to capitalise on the foundations we have laid over the past two years, particularly in terms of developing industry-leading technologies which meet the needs of our customers.
“We are confident that the subsea-industry as a whole is moving into a phase where innovation and efficiency are key drivers and such an environment is one in which Ennsub can thrive.”
Established in 2012, Ennsub designs and engineers a range of specialist equipment, including deepwater deployment systems, subsea pipeline products and pipeline repair equipment.
The firm is led by Scott MacKnocher and Paul Lavelle, who have over 50 years’ experience between them.
Mr MacKnocher previously told The Journal that while a steep fall in the price of crude oil had impacted investment in the oil and gas industry, many firms, including his own, were geared towards a cyclical market.
Chris Cooper of Maven Capital Partners, who delivered the investment, said: “Ennsub is an excellent example of a business with market leading technologies which is ideally suited to take advantage of the flexible long term capital the Scottish Loan Fund can provide.
“Scott and Paul have a wealth of experience in the subsea sector and have a proven track record of innovation and design excellence.
“We are delighted to be able to provide them with SLF funding which is a perfect fit for what the business is trying to achieve and support then with their strategic growth plans.”
The SLF provides loans from £250,000 to £5m to businesses across Scotland. To date the fund has committed more than £50m in growth investment.
Johnston Carmichael acted as lead advisors to Ennsub. Financial due diligence was conducted by Eagle Orchid, Legals by Pinsent and Masons and Insurance by Lockton.