'Significant' funding for manufacturer
Russian backs Superglass with £37m investment
Ken Munro: ‘vote of confidence’
A Russian businessman is making one of the largest investments in Scottish engineering and manufacturing in recent years, doubling the capacity of his Stirling business and creating jobs.
Sergey Kolesnikov, owner of TechnoNICOL, the largest manufacturer of construction materials in Eastern Europe, is injecting £36.8m into Superglass’s glass wool insulation facility at the Thistle Industrial Estate.
It takes investment in the Scottish business to £50m since Mr Kolesnikov’s acquisition of the formerly listed company last year through his Inflection Management Corporation vehicle.
Economy Secretary Keith Brown visited the plant today and announced the government was providing a funding package of £477,000 to support the expected jobs growth.
Superglass is now a key regional hub for the Russian construction materials giant.
Ken Munro, chief executive of Cyprus-based TechnoNICOL UK, Ireland and USA, said: “TechnoNICOL’s backing is a real vote of confidence in Scottish manufacturing, both in terms of the quality of the work we do here and the expertise of the workforce.
“It is a validation of our strategy within Superglass over recent years and very personally satisfying for me to see further consolidation of the initial investment at our regional headquarters.
“It is also an important milestone in the total transformation that this business has experienced over the last three years – we have delivered a £10m improvement in profitability over this period and significant double digit sales growth in the current year.
“With this investment, we will have spent close to £50 million on this site since the acquisition of Superglass and this is a further statement of intent regarding the long-term future of our Stirling operations.
“By our estimations, it’s also one of the biggest single inward investments made in Scotland’s manufacturing sector for a long time. It’s an exciting time for the business. We’ve got significant growth ambitions and this investment will certainly help propel us towards achieving those goals.”
TechnoNICOL has 52 manufacturing facilities across Russia and Europe. The investment in Stirling will deliver a significant growth in full-time jobs over the next 18 months to accommodate and fulfil the increased capacity. These jobs will be created across the breadth of the organisation, but primarily in the operations team as well as in product marketing and innovation.
This project will take Superglass beyond environmental compliance, and builds on the company recently being awarded Scotland’s first ever Sustainable Growth Agreement by SEPA, while allowing the plant to double its output from 27,000 tonnes to 60,000 tonnes annually within two years.
Substantial building work will take place on the site to accommodate production equipment, including a 187-tonne furnace and curing ovens. Cooling, cutting and milling equipment will be replaced and an automatic packing system will be installed. Building work will start early in the new year.
Since becoming CEO of Superglass in June 2015, Mr Munro has guided the company through the delisting process and returned it to profitability. He subsequently was appointed to a new role running all TechnoNICOL businesses in the UK, Ireland and North America.
Economy Secretary Keith Brown, said: “This investment, and the jobs it will create, is excellent news for Stirling and for the wider Scottish economy. It rightly shows real confidence in the highly-skilled Scottish workforce.
“It will help position the Stirling site to take advantage of greater opportunities in the future and will also help to deliver significant environmental benefits.
“I am delighted that Scottish Enterprise has been able to support this project with a grant of £477,000.”
Jim Watson, director of innovation and enterprise services at Scottish Enterprise, added: “As well as bringing new jobs and investment to Scotland, this project will also help improve efficiencies in its manufacturing processes and open up new European markets and potentially future research and development activities.”
Mark Bevan, CEO of SCDI, added: “It’s great to see companies like Superglass thriving in Scotland. It is an innovative employer and manufacturer, working with recycled materials to create insulation products that provide an obvious benefit to the environment and economy.”