A leader in the production of fine quality and specialist papers and paper products, Arjowiggins Creative Papers was acquired from administrators by the existing management team, protecting over 550 jobs in the UK and a further 250 internationally.
Trading for over 300 years, Arjowiggins has become one of the largest fine paper manufacturers in the world and now exports its products to business customers across the globe from its Stoneywood Mill in Aberdeen and Chartham Mill in Kent, plus facilities in Spain and the Quzhou mill in China. After the parent company went into administration, the management team were determined to secure the future of the business.
With support from the Administrators, FRP Advisory, the management team worked with a common purpose group led by Scottish Enterprise and included national and local government, Opportunity North East, Aberdeen and Grampian Chamber of Commerce and union Unite.
Recognising the underlying strength of Arjowiggins, the quality of its product and distribution reach, and its importance to the local community and economy, the Shawbrook team was quick to propose an asset based lending solution including multi-currency confidential invoice discounting and a property-backed facility.
Shawbrook was introduced through Anderson, Anderson + Brown, who recognised the Bank’s ability to move quickly and to create a bespoke facility that would provide both immediate working capital and additional headroom to support the business through this critical phase in its history.
Kevin Boyd, Managing Director, Scotland says:
“Arjowiggins is a creative business, producing some of the finest paper products you’ll find anywhere in the world. The breadth and depth of support the management team has received to get this transaction done is testament to the quality of the business and its potential under new ownership. These are the things we recognised at Shawbrook and I’m proud that the bespoke funding facility we’ve put in place will play a part in the next chapter of this iconic Scottish business, one of the largest employers in the Highlands.”
Jonathan Mitchell, Managing Director Arjowiggins Creative Papers:
“We are absolutely delighted to have secured the future of a strong and sustainable business which has such a long heritage in the UK. Arjowiggins Creative Papers has world-renowned market-leading brands and products and a passionate and talented team. We are looking forward to taking steps to further strengthen the business and continue to provide first-class products and customer service to our clients. We needed to work with specialists who could understand our current position and buy-in to our vision, and the Shawbrook team had the expertise and desire to do just that.”
Geoff Rowley, Partner at FRP Advisory
“We are delighted to have concluded a deal with the management buyout team that has saved the jobs of 559 highly skilled staff across the UK. It has been an extremely challenging time for everyone. The Shawbrook team have played a crucial role alongside the staff, unions, suppliers, customers and local communities to keep the business trading in order to enable such a successful management buyout bid.”