A host of improvements are planned at Wisbech-based timber importer Swiftwood which has been the subject of a management buy-out (MBO).
With a £3.25m package put together by Lloyds TSB, which includes a term loan, working capital facility and asset financing, the new owners – Sebastian Di Cataldo and Peter Fiddling – plan to capture more of the added value market.
The MBO team has bought Swiftwood from Savsjostroms Bruk AB of Sweden. Established to import and distribute machined Scandinavian softwood to timber and builders merchants, the company has carved a niche for itself through its bespoke milling capability and this will be expanded with investment in automation technology.
Mr Di Cataldo said: “Our own manufactured products currently account for about 45% of our sales, and we believe that with further investment in the business, we can increase that to nearer 80%.”
He said company growth is driven by period property renovation and the boom in home improvement.
Around £300,000 will be invested in high speed moulding machinery and a mechanical handling system which will allow the timber to be machined, stamped, wrapped and stacked automatically.
Swiftwood, which has Forest Stewardship Council chain of custody certification, has recently been taking advantage of competitive prices in the Baltic states and Russia over its traditional timber sources of Sweden and Finland.
