The Northern Powerhouse Investment Fund II (NPIF II) has completed its first investment since the launch of the £660 million fund in March this year.
Based in Harrogate, UK free-from brand Kirsty’s has raised £2 million from NPIF II – Mercia Equity Finance, which is managed by Mercia and part of the Northern Powerhouse Investment Fund II.
With the funding from NPIF II, Kirsty’s will launch new ‘food to go’ ranges and develop other new products. The investment, which is the first from NPIF II, is expected to add 15 new jobs to its 55-strong team in the next six months at the company’s Harrogate factory.
As part of the deal, Ian Kent, former commercial director of Stateside Foods, has been appointed as chair.
Kirsty’s was founded in 2009 by Kirsty Henshaw, and in 2010 the business secured backing Peter Jones and Duncan Bannatyne of Dragon’s Den. Its products were launched in supermarkets across the country in 2012.
In 2020, Kirsty’s opened a 100% allergen-free factory in Harrogate, bringing all its manufacturing operations in-house.
“Our success is a real testament to our hard-working team.”
Kirsty Henshaw, founder of Kirsty’s, said: “Nothing beats fresh, home cooked food, however with modern life being busier than ever, we know that’s not always achievable, especially for those with allergies who have to prepare everything from scratch. We set out to create a range of healthy, convenience foods that everyone could enjoy whether they have an allergy or not.
“Our success is a real testament to our hard-working team. This funding will enable us to take the business to a new level and fulfil its true potential.”
Chris Borrett of Mercia Ventures said: “As our population becomes more aware of what they consume, and with busy lives and more dual income households, Kirsty’s is poised to truly lead the healthy convenience and allergen-free sectors. With strong relationships with all the major UK retailers and a roadmap of exciting new products, we are excited about the growth journey ahead.”
Ken Cooper, managing director at British Business Bank said: “Like so many of the UK’s entrepreneurs Kirsty has a dedication to making her business a success. For 15 years consumers have sought out her product, and now with an injection of the right kind of finance she will be able to grow that market.
“In the current environment sectors such as manufacturing can find it increasingly difficult to remain competitive and attract funding. This investment shows that the Northern Powerhouse Investment Fund II is open for business and available to support ambitious businesses across the North.”
Kirsty’s ready meals are low in calories and free of allergens such as nuts, dairy, gluten and wheat. The company supplies all the major supermarkets and reportedly operates the only allergen-free factory of its size in the UK.
