About the company
Jam and preserve manufacturer R&W Scott can trace its roots back to 1873 when brothers Robert and William Scott first started harvesting strawberries in Scotland.
From those humble beginnings, the business has enjoyed success over the past 130 years to become the pick of the crop of food manufacturers supplying customers across the UK and overseas.
From its 84,000 sq ft manufacturing facility south east of Glasgow, in Carluke, the business has expanded on its core offerings. It now also produces products such as chocolate flavoured coatings, sweet and savoury spreads and soft icings. Today, it employs more than 90 people and is a valued supplier to retail, foodservice and wholesale customers worldwide.
In order to satisfy ambitious growth and turnaround plans, and cement its reputation as an iconic brand, members of the leadership team resolved to buy the business from parent company Real Good Food Plc. This ambition was driven by a business culture that thrives on innovation and the management team’s determination to break from the old and deliver sustainable and profitable growth in the future.
Achieving a suitable financial solution which would help to fulfil these ambitions was a significant challenge given the involvement of multiple interests. As well as the three members of R&W Scott’s management team who were leading the buyout, the process involved private equity investors, corporate finance advisers, plant and machinery valuers, stock valuers, and the legal teams acting on behalf of each party.
To achieve R&W Scott’s ambitions it was necessary for Bibby Financial Services to provide a bespoke funding solution tailored to its unique needs. The aim was not only to give it the perfect foundation to launch an independent future but to ensure it would provide sustained support to thrive and grow.
This management buyout provides a strong platform from which we can really accelerate our growth plans and thrive as an autonomous business.John Easton, Managing Director R&W Scott
After working closely with the team at R&W Scott, we were able to provide £3.6m to fund the management buyout. Working capital was provided to assist the buyout with a combined facility of £2m in Invoice Finance, £500,000 in Stock Finance and £1.1m in Asset Finance to fund the acquisition of plant and machinery.
David McIntyre, Corporate Manager of Bibby Financial Services, said: “Having spent significant time with the management team, we were able to quickly understand the needs of the business and develop our own plan to fund its buyout from Real Good Food. We look forward to seeing the business grow and develop from its strong foundations.”
Invoice Finance and Asset Finance will aid our growth significantly and provides the working capital we need to grow.Stephen Currie, Director R&W Scott