Torwood has become the second Scottish timber frame manufacturer to enter receivership within a month. Tenon’s Tom MacLennan and Kenny Craig were appointed joint receivers on April 7. According to the former, who is director of recovery services for Edinburgh and the east of Scotland, the move was the result of “recent difficult trading conditions” at Torwood.
The workforce at Torwood’s main factory on the Deans industrial estate in Livingston has been cut from around 90 to 75. The timber frame specialist is “working through its order book” while attempts are made to sell the business as a going concern, according to a spokesperson for Tenon. He also confirmed that Torwood’s production facility at Ipswich was closed on April 8 with the loss of more than 30 jobs.
Torwood was formed following a buyout from Beazer Homes after the housebuilder was acquired by Persimmon in 2001. The company had a turnover of £10m last year and has a current order book worth around £4m.
Another Scottish timber frame manufacturer – Novaside Timber Systems Ltd of Cumbernauld – went into receivership last month after encountering cash flow problems. In a deal also handled by Tenon, the company’s assets were subsequently bought by privately-owned housebuilder Strathclyde Homes of Glasgow.
