Fast-growing pallet manufacturer Scott Timber Group (STG) has further strengthened its position in the north-west of England with the acquisition of recycled timber products supplier James Industrial Ltd of Wigan. The deal also includes Pallet Craft 2000 and Alpha Timber Products, both of which are engaged in manufacturing new pallets.
Employing 55 staff, James Industrial Ltd is a major stockist of recycled pallets and supplies customers throughout the UK. Adding its annual sales of £5m to STG’s existing £40m-plus turnover means the group is now close to its £50m target originally set for 2008. STG produces around 220,000 pallets each week, according to managing director John Scott.
James Industrial Ltd is STG’s second major acquisition in the north-west of England this year. In February, the group acquired Widnes-based Hammond Pallets from receivership and thereby took on a £1.6m Italian-made machine capable of producing 10 pallets a minute.
Mr Scott commented: “James Industrial is in a good area and has a busy site for getting in reconditioned pallets – we will be looking to grow the business.” The purchase represented “an important step towards our goal of establishing a nationwide network,” he added.
The focus of the Rosyth-based group as a whole remains on further developing the pallet side of the business while expanding into new areas, such as the wider packaging sector, said Mr Scott.
In this latter context, he hopes to be able to announce shortly the acquisition of a small, non-timber packaging company.
