The Courier & Advertiser (Perth and Perthshire Edition)
Dundee-based CJ Lang bags eight-figure funding package
EFFICIENCY: Firm will invest in fleet upgrade and new food-to-go services
Dundee-based Spar supplier CJ Lang plans to replace and develop its distribution assets over the next two years following an eight-figure refinance transaction with HSBC UK.
The Dundee-based business plans to make its delivery vehicles more efficient and explore alternative fuelling options, such as electric or gas power, for its trucks.
It will also use the capital refinancing from HSBC UK to invest in its stores’ fixtures and broaden the offerings of its stores, including rolling out more food-to-go services in-store. The upgrades are part of the implementation of CJ Lang’s five-year strategic plan.
The firm is one of Scotland’s largest independent family-owned companies and employs approximately 2,000 people across Scotland, with around 300 staff at its offices and distribution centre in Dundee.
It operates around 100 companyowned stores and supplies to approximately 200 independent retailers.
Craig Tedford, financial director at CJ Lang, said: “The support from HSBC UK is allowing us to put our five-year strategy into practice, with the overall aim of modernising and improving our offer and assets for the benefit of our customers across Scotland.
“We also believe that these improvements will help us develop our customer base and attract new independent retailers to the SPAR business.”
Last year sales rose by 2.6% to £187.9 million for the year ending April 30 as the firm entered its 100th year of trading. Underlying profits, before exceptional costs, increased by 56% to £764,000. The firm’s margins rose from 23.9% to 24.3% last year.
Neal Tully, relationship director at HSBC UK, said: “HSBC UK is dedicated to supporting Scottish businesses and CJ Lang is an important employer across the length and breadth of Scotland. We’re thrilled to be supporting the company.”