This financial backing, comprising term and revolving credit facilities, will propel the company towards its target of £200 million in sales by 2030.

In 2023, the business grew its sales in the year by 15.5% to £130.6m and the Highland Spring brand consolidated its position as the UK’s number one plain water brand for a seventh successive year. The financial backing, which includes term and revolving credit facilities of £50m, will further accelerate the evolution of the brand and business to meet the growing demands of retail partners and consumers for healthy, high-quality, British products.

Building on the strength of the Highland Spring brand continues to be the main priority of the business, with an emphasis on expanding the business’s portfolio of products and packaging formats. A recent successful launch into the 400 million litres flavoured water category, with a new Highland Spring Flavoured Still Water range was supported by a £10 million investment at the group’s main site in Blackford, Perthshire which will provide circa 25% of extra capacity.

The group’s dedicated rail freight facility in Blackford, Perthshire transports 40% of the water supplied from the main bottling plant by rail, removing 8,000 HGV movements from the roads, and saving over 3,000 tonnes of CO2 every year. This landmark project supports the businesses decarbonisation roadmap which aims to reduce emissions across their entire operations from source to shelf.

John Young, finance director at Highland Spring Group, said: “The Bank of Scotland and Barclays funding provides a springboard for us to further invest in our business to boost sustainable growth.

“This package reflects their confidence in our strong operational and market performance, talented team, and iconic brand. We are delighted to work with both organisations as we continue to scale up and bring our exceptional products to even more retailers and customers across the UK.”

Simon Sweeney, director at Bank of Scotland, said: “Highland Spring Group was the first major water brand to introduce a 100% recycled and recyclable bottle in the UK in 2019 and it is clear that its drive to innovate, grow the business, and prioritise environmental sustainability remain its top priorities.

“We’re pleased to support the business with this financing package as it progresses in its next chapter of delivering its ambitious growth plans, including initiatives which reduce carbon emissions across its operations.”

Jamie Grant, head of Barclays Corporate Banking in Scotland, said: “We are committed to supporting lending via our £22bn Barclays Business Prosperity Fund and so are very pleased to have been chosen as a banking partner for Highland Spring. We look forward to supporting their exciting plans going forward.”