Merger creates largest independent timber distribution company in the UK
A Sheffield-headquartered company has completed a merger to create the largest independent timber distribution business in the UK.
Arnold Laver & Co. Limited has now merged with The National Timber Group to create a new group with a combined revenue approaching £250m.
The enlarged group has 52 distribution and processing sites extending from the north of Scotland to London and the South West and over 1300 employees.
The National Timber Group is a collective of timber distribution companies, which include Thornbridge Sawmills, North Yorkshire Timber and Rembrand.
Together, these companies serve a customer base which includes joiners, regional housebuilders, commercial companies and infrastructure projects.
Headquartered in Sheffield, Arnold Laver is the timber division of Arnold Laver Holdings Limited, a family run company first established in 1920.
The company imports, distributes and manufactures a wide range of timber, panels, decorative surfaces and joinery products, serving public and private sector construction, house-building and commercial companies.
With its annual turnover in excess of £130m, Arnold Laver has 13 distribution and processing depots across the UK; a national production centre at Mosborough near Sheffield and a workforce of over 750 employees.
The enlarged group will be led by Rob Barclay, group chief executive, who joined The National Timber Group in June.
The group will have three divisions: a Scottish division that is headquartered in Grangemouth and led by Alex McLeod; one headquartered in Sheffield led by the Arnold Laver management team and a third headquartered in Northallerton and led by Nick Kershaw.
As part of the merger, each of the underlying companies will retain their trading names. Owners Andrew Laver and Mark Bower will remain in the business throughout the handover period.
Rob Barclay, group chief executive of The National Timber Group, said: “We are delighted to partner with Arnold Laver and welcome them to the Group. The merger is highly complementary – together, we are able extend our presence nationwide, pursue further growth and are well positioned to capitalise on the market leading position we have established.
“Additionally, our values, vision and commitment to customers are completely aligned, which creates exciting opportunities for us both.”
This transaction was led by Neil McGill, investment director at Cairngorm Capital, who added: “The UK timber market remains highly fragmented and offers many opportunities for well, organised, high quality businesses such as The National Timber Group and Arnold Laver.
“As investors, we have been working hard to find opportunities to scale our timber interests rapidly so we are delighted to be able to support this partnership. We believe we now have a great platform for further growth under the leadership of an exceptional management team”
Andrew Laver said: “Once we had taken to decision to consolidate our interests, our priority was to find a partner with shared goals and values who would help our timber business to fulfil its potential.
“Both companies have much in common in terms of heritage, outstanding product quality and a commitment to the highest standards of customer service, which makes this merger a very good fit. I am confident that the business is in very capable hands and that it will continue to thrive and prosper.”
The National Timber Group and Cairngorm Capital were advised on this transaction by PwC (financial and tax), Addleshaw Goddard (legal), CIL (commercial) and JLT (insurance). Arnold Laver shareholders were advised by Rothschild & Co. (financial) and DLA Piper (legal). PNC Business Credit and HSBC provided bank facilities to support this transaction.
