One of Hull's most successful businesses has secured a war chest for growth through a £25m refinance deal with Lloyds Bank.
MKM Building Supplies, the UK's largest independent builders' merchant, signed the agreement with the acquisition and mid markets divisions of the lender's commercial banking arm.
It is a long-standing client of Lloyds, which provided debt financing for a buyout in 2006.
MKM employs more than 840 staff and provides building, timber and plumbing products to trade workers and the public.
Chief executive officer David Kilburn said: "Through a combination of strategic branch openings and placing customers at the centre of our operations we have established a market-leading position.
"The new funding ensures we can capitalise upon this position and provides us with a strong base from which we can continue to expand our branch network.
"There are considerable geographic areas across the north of England that offer potential for growth and our strategy is to access these markets."
MKM holds a wide range of stock at 42 sites in England and Scotland with the aim of ensuring strong product availability.
The agreement will support plans to expand this branch network into new areas.
The company opened branches in Durham and Castleford earlier in the year, giving it a presence in West Yorkshire for the first time, and unveiled a Glasgow depot last year.
Gary Styles from Lloyds' acquisition finance team and Richard Townsend from its mid markets division in Hull advised on the refinance.
Mr Styles said: "MKM's management team have built a fantastic brand and a highly successful business based around the principles of excellent customer service and the recognition of staff values.
"This new funding structure strengthens the company's medium to long term proposition and ensures they are well placed to capitalise on the opportunities presented by the economic revival and upturn in consumer confidence."
MKM is backed by private equity firms 3i and LDC.
Mr Kilburn puts part of its success down to an unusual business model which gives branch managers a share in profits.
The company reported a 14 per cent growth in annual turnover in its last set of accounts, rising to £163m.
In July it opened a £30,000 kitchen and bathroom showroom in Swinemoor Lane, Beverley.Lending on the rise
There is increasing evidence the banks are more willing to lend in East Yorkshire.
Hull manufacturing giant Fenner last month increased its loan fund from £80m to £100m in a deal with Lloyds Bank Commercial Banking, HSBC, Barclays and Santander.
Two financiers have also announced new cash pots for smaller firms.
HSBC unveiled£100m of support in April as part of a nationwide £6bn cash injection.
Santander Corporate and Commercial revealed a £50m fund for manufacturers two months later.
It aims to help them find supply chain opportunities in the wake of Siemens' commitment to build a £310m wind turbine factory in East Yorkshire.
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