Cairngorm Capital has acquired Scottish timber processing and distribution company Thornbridge Sawmills.
This is the firm’s second major investment in Scotland, following its acquisition of Stevenswood Group in November 2016.
To support the existing management team, Jim Faulds and John Declerck will join Thornbridge’s board as Chairman and non-executive director respectively, contributing considerable expertise in the buildings materials sector.
Jim brings significant strategic expertise, having served in a non-executive capacity on the boards of more than a dozen firms backed by leading private equity firms since he sold the marketing service agency he founded, The Faulds Group, in 2001. John, chief executive of Stevenswood, has over 20 years global executive experience in senior management roles at leading building products distribution companies including Kingfisher and Home Depot.
Bruce Muirhead, Managing Director of Thornbridge, said “Our reputation for consistently providing the best products available, with outstanding customer service, has made Thornbridge a leader in the Scottish market. Our partnership with Cairngorm Capital enables us to support continued growth and heralds a new phase in our development. Together, we will pursue new opportunities for innovation and growth, to the benefit of our customers and employees.”
This transaction was led by Neil McGill, Investment Director and head of Cairngorm Capital’s Edinburgh office, who said, “As investors we are actively engaged in the strategy and operational development of our portfolio companies. Thornbridge is an excellent example of the sort of business in which we like to invest – it is a terrific company, processing and supplying an exceptionally wide range of high-quality timber and associated products, with a skilled and committed workforce offering outstanding customer service. We are delighted to help Thornbridge in its next stage of growth and will be investing additional funds to scale this business rapidly.”
Thornbridge and Cairngorm Capital were advised on this transaction by BDO (financial and tax), Addleshaw Goddard (legal), CIL (commercial) and JLT (insurance). Thornbridge shareholders were advised by Grant Thornton (financial) and Wright Johnston & MacKenzie (legal). PNC Business Credit and Clydesdale Bank provided bank facilities to support this transaction.