Underpinning its long-term future, the funding has enabled Halley Stevensons to establish an employee ownership trust (EOT), facilitating the buyout of its previous shareholders through a deferred payment structure.

Founded in 1864 as a cotton mill producing sailcloth for ships, Halley Stevensons has evolved into a specialist manufacturer of waxed cotton and weatherproof fabrics, supplying premium global brands including Patagonia, Belstaff, Fred Perry, and Barbour. Today, the company operates in a highly specialised market with only a small number of global competitors.

Headquartered in Dundee, the business has experienced strong growth in recent years, increasing turnover from £5m during the pandemic to approximately £14m today.

The transition to employee ownership was driven by the outgoing shareholders’ desire to protect the heritage and independence of the business, ensuring it remains rooted in Scotland while continuing to grow. The move also supports long-term stability for employees and customers, while preserving the company’s specialist expertise.

The HSBC UK facilities will also support ongoing working capital requirements, enabling the business to manage cashflow effectively and continue investing in production as it scales.

Jimmy Campbell, managing director at Halley Stevensons, said: “Becoming employee-owned marks an important milestone in our long history.

“It was essential to us that the business remained independent and that its heritage was protected for future generations. This structure allows us to do just that, while continuing to build on the progress we’ve made in recent years.

“HSBC UK’s support has really been key in enabling this transition and ensuring we have the financial flexibility to continue growing and serving our customers around the world.”

Tim Laundon, relationship manager at HSBC UK, added: “Halley Stevensons is a well-established manufacturer with a strong heritage and a growing international presence. The transition to employee ownership reflects a genuine commitment to its people and its long-term future.

“We are pleased to support the business with facilities that enable this transition while also providing the working capital needed to sustain its continued growth.”