The Courier & Advertiser (Fife Edition)
Scott Group strikes deal for rival pallet firm
Move for Direct Pallets will add capacity in key area of England
Dunfermline-headquartered Scott Group has acquired a rival pallet business and gained capacity in the heartland of England’s southern industrial belt.
Scott Group has purchased Bedfordshire-based Direct Pallets Ltd in a strategic deal that will deliver additional reconditioned pallet capacity in the prime industrial areas around Luton and beyond.
The acquisition will expand customer access to the range of pallet solutions available from the group’s existing pallet businesses, Scott Pallets and HLC.
The £7 million Direct Pallets business supplies around 30,000 reconditioned pallets per week, from a five-acre site.
Kevin McNeilly, managing director at Scott Pallets’ reconditioned business unit, said: “We were delighted to reach a deal with brothers Shaun and Kevin McBride who have successfully grown the business over the last 20-plus years.
“They were determined to secure a new owner for the company who would be ready to operate from the current site and shared similar family values, thereby safeguarding their loyal employees, customer service and supply security.
“Direct Pallets is a well-invested business and the exceptional five-acre site complements our growing national network, so the fit was good.
“Our combined companies will deliver enhanced security of supply through access to our well-established pallet supply chain.
“Customers will also benefit from our exceptional combined in-house industry knowledge and technical competence.
“Together, we will deliver industry-leading, innovative service developments to support our customers, particularly in relation to sustainability and environmental objectives, by offering a mix of new and reconditioned pallets and our unique recovery service.”
Founded in 1997, Direct Pallets has 40 employees who will transfer across to Scott Pallets and will trade as Scott Pallets with immediate effect.
It is hoped the acquisition will bring further growth for Scott Group, which employs more than 1,000 staff in the UK across 34 sites.
Through acquisition and organic growth, it is now a market-leading supplier of sustainable pallet solutions, bespoke timber packaging and industrial supplies such PPE and safetyrelated products, workwear and tools through Scott Direct.
It also operates a specialist garment manufacturing and decoration business, Seahawk Apparel, and a portfolio of commercial property.