Moda in Pelle secures 3.5 million funding

British retailer of women’s shoes Moda in Pelle has received a 3.5 million pounds funding from the Business Growth Fund (BGF). The retailer will utilize the new investment to help accelerate store roll-out plans and support online development.

As advanced by the own company, with year-end revenues expected to come in the region of 20 million pounds, Moda in Pelle has extended its management team and will implement a strategy for further growth using BGF’s investment.

BGF will take a minority stake and BGF investment director Richard Taylor will join the board as a non-executive director. As part of the investment, the company has also secured an increased working capital facility from Lloyds Bank. The Lloyds team was led by Matt Pollard and Alison Hoyle.

Meanwhile, Stephen and Claire Buck will remain majority shareholders. Stephen has been at the helm of the Moda in Pelle since he founded the company in the mid-1970s with a single store in Leeds.

Finally, and with a view to implement the growth plan, David Inglis, who has previously advised Moda in Pelle, will join as chief executive and invest alongside BGF. Judith Pilkington has also been appointed to the board as non-executive chairman.

Moda in Pelle to unveil brand refresh in autumn 2015

Moda in Pelle will use the just secured capital to accelerate the roll-out of stores across the UK and internationally, as well as enhance the in-store customer experience and support further development of the company's website and other e-commerce channels.

Additionally, the shoe retailer has unveiled that a brand refresh will also be revealed in autumn 2015.

“Over the past 40 years, we’ve created a tremendous amount of brand capital among a loyal customer base by focusing on quality design and manufacturing. After a particularly strong period of growth, we want to pursue new opportunities to fully exploit the brand’s potential. David has an acute understanding of what we want to achieve, and brings with him energy, determination and strong background in the retail sector. I’m delighted that he will be joining the team,” summed up the importance of this investment Stephen Buck, founder of Moda in Pelle.

In the same vein, David Inglis, chief executive of the show retailer added: “We have ambitious goals for Moda in Pelle. Developing our multi-channel offering will be a primary focus over the next 12 months, and we will continue to explore new opportunities with wholesale and internationally.

“The investment from BGF, alongside an increased facility from Lloyds Bank, provides us with the capital to implement our plan. We are excited about the future of the business and recognise that securing the right long-term funding partner is a key step.”

Richard Taylor, investment director at BGF explained why BGF is backing Moda in Pelle: “We’ve been impressed by management’s clear strategy for the company, knowledge of the retail sector and understanding of the Moda in Pelle customer.” Taylor added that this investment comes backed up by Moda in Pelle's strength and capabilities of its management team and the growth potential of the business.