The undisclosed investment in the Wolverhampton-based company will help Angel Springs target complementary businesses and expand its existing customer base.

Andy Lyndon, investment director at LDC, who led the deal, comments, ‘Going forward, we will work closely with the team to identify acquisition opportunities to accelerate growth and lead consolidation of the market.’

LDC Midlands managing director Martin Draper and Lyndon will join the board of Angel Springs as non-executive directors with immediate effect.

The company provides drinking water through both bottled water coolers and mains fed coolers, and was established in 2003 following the acquisition of three water cooler businesses led by existing chief executive John Dundon.

He says that the deal with LDC will allow the business to ‘invest for future growth both organically and through acquisitions’.

The deal is the fifth transaction completed by LDC’s Midlands’ team in 2011 and the ninth new investment completed by LDC nationally this year.

Earlier this week, LDC backed the secondary management buy-out (MBO) of beauty accessories supplier Original Additions.

LDC supports MBOs, equity release, development and acquisition finance transactions and has a portfolio valued in excess of £2 billion.