International law firm DAC Beachcroft has advised the Finance Wales Group on the new Tees Valley Catalyst Fund, which will be managed by the Group’s FW Capital subsidiary.

Backed by the Regional Growth Fund, the Tees Valley Catalyst Fund is the first of its kind in the UK. It will back companies based in the Tees Valley bidding for contracts larger than they can currently bid for.

The Local Enterprise Partnership for Tees Valley, Tees Valley Unlimited, launched the Fund having identified that a lack of help to provide bonds was a barrier to growth for many companies in the region. It is anticipated that the Tees Valley Catalyst Fund will unlock almost £700m of additional work and support approximately 1,440 jobs in Tees Valley during the next ten years.

DAC Beachcroft was appointed to the Finance Wales Group’s panel of legal advisers in 2012.

Barry Stimpson, London-based Funds Partner, led a specialist DAC Beachcroft team for Finance Wales that also included Partner, James MacNish Porter, and Holly Buckley, solicitor.

Commenting on the deal, Barry said: "It was a great pleasure to work with the Finance Wales Group on this innovative project, which we all foresee providing a significant boost to the Tees Valley economy."

Peter Wright, Group Investment Director at the Finance Wales Group said: “Many established businesses in the Tees Valley have the capacity as well as the technical know-how to secure new contracts, but the financial guarantees that are often required can be a real obstacle. Winning new contracts could significantly boost their prospects and the Tees Valley Catalyst Fund can provide them with the financial backing they need.

“We’re delighted to be managing this pioneering new fund and rely on high-quality legal advice from our legal advisers and we’re pleased to have worked with the DAC Beachcroft team on this occasion to put the necessary arrangements in place.”

Tees Valley Unlimited was advised by Bond Dickinson.