Co Antrim mouldings company expands business with UK acquisition
A Co Antrim mouldings company has snapped up an English timber firm for an undisclosed sum. Springfarm Architectural Mouldings (SAM), which has annual sales of nearly £33m, said buying Select Timber Products in Lincolnshire, would add around 20% to its turnover.
And the deal gives SAM a new centre in the south-east of England - which it said would give it a foothold in a booming economic region and hub for the construction sector.
The firm said it would also use the location to target expansion into export markets, including Europe.
Select Timber, which is based in Spalding, was founded in 1989 and supplies interior mouldings products. All 25 employees from Select Timber will remain in their roles following the acquisition, bringing the headcount at SAM to more than 200.
Paul Lavery, commercial director at SAM, and now managing director at Select Timber, said: "The past two years have been a particularly exciting time for SAM, as we have doubled in size.
"We are keen to build on this momentum and we are looking ahead to the next five years, with a focused and goal-orientated strategy in place.
"In line with our strategy, the addition of Select Timber to the SAM family will enable us to continue as market leader and maintain the increasing demand for our unrivalled range of standard and value-added mouldings.
"The presence of a manufacturing and distribution facility in the heart of England, provides us with a fantastic opportunity to enhance the SAM product and service offer."
In its most recent accounts for the year ending November 30, 2015, Select Timber had assets, less current liabilities, of £879,927 - up from £651,364 the year before. Its parent company is given as Planed Wood Ltd.
SAM is also the owner of a 83.7% share in Hi Spec Doorsets Ltd, which is based in Powys in Wales.
According to a strategic report filed with SAM's most recent company accounts - for the year ending February 29, 2016 - the family-owned firm "prides itself on family values".
The report adds that the directors planned to increase the company's product range, find new markets and, extend their customer base during the next financial year.
The firm said its turnover had grown by 18% during the year to February 2016, to £22.8m, with pre-tax profits of £307,874 - turning around a loss of £2.4m a year earlier.
Its purchase of Select Timber is the latest major corporate deal in Northern Ireland this year.
Belfast law firms McManus Kearney and C & H Jefferson, have been taken over by Shoosmiths and DFW respectively, while Dunbia in Dungannon has sold its Ballymena pork business to Cranswick.