James Latham acquired Northern Irish IJK Timber Group along with superordinate Sarcon on 22 October. According to a statement issued by James Latham on 26 October, a purchase price of £4m, plus a currently undetermined equity capital sum estimated at £3.5m, was agreed. The purchase price is to be paid in cash. As part of the acquisition, Nicholas Latham, the board chairman of Latham, and David Dunmow, company secretary of Latham, joined Sarcon and IJK Timber Group as directors on 22 October. Previous directors Peter Elwood and Graham Knox as well as company secretary Donna Leonard resigned from their positions on the same day.
In the 2019/2020 financial year (30 September), IJK Timber Group - with its subsidiaries IJK Timber and Northern Hardwood - generated turnover of £8.8m; this corresponds to a decline of 14% vis à vis the preceding year. In contrast, the company - which sells lumber and wood-based panels in Northern Ireland - almost doubled both its operating profit and its net profit, to £346,845 (185,046) and £318,746 respectively.
The acquisition will allow James Latham to expand its sales into Northern Ireland; the company has already had a presence in the Republic of Ireland since February 2019 through its trading company Abbey Woods Ltd. (Cork).
In the 2020/2021 financial year (31 March), group turnover increased slightly to £250.2m. Operating profit increased by 26% to £19.0m and net profit by 20% to £15.0m. By sales region, the James Latham group generated most of its turnover in the UK, at £241.3m. The other regions achieved the following figures in £: Republic of Ireland 8.7m, Rest of Europe 62,000, Other 47,000.
