Staff roles saved as Arran Aromatics is bought out of administration
MORE than 100 jobs have been saved after a Scots firm which makes luxury scented candles and bathroom soap was bought out of administration.
Arran Aromatics, which has stores across Scotland, entered administration yesterday.
But a private equity investor has saved the brand with a pledge to safeguard workers jobs – 32 of which are on the island.
The soap and candle maker, which was set up by Janet and Iain Russell on the island in 1989, has six retail stores across Scotland.
Despite sales of £6 million per year it is thought to have been hit by the shopping downturn resulting in it being placed in administration.
New owner Endless said manufacturing and retail operations will continue on the island while a new showroom recently opened on George Street in Edinburgh will also be kept on.
It is understood that former Crabtree & Evelyn head of Europe Jacqui Gale, who was appointed Arran Aromatics chief executive in August 2015 will also remain in post.
HMRC lodged a petition to wind up the company in respect of £180,000 of underpaid payroll taxes back in 2009.
Turnaround expert Iain Pittman took charge that year and spent months stabilising the business and clearing its debts. He remains on the board as chairman.
William Wellesley, the former managing director of Molton Brown Cosmetics, will join the board as nonexecutive chairman.
Allan Caldwell, previously chief executive of Scottish Fine Soaps, has also been appointed chief operating officer.
Brand director Andrew Russell, whose parents founded the business, said: “We are delighted to have received the investment from Endless, which has been delivered at a vital time for Arran.”
Endless has also held investments in arts and crafts chain The Works and the West Cornwall Pasty Company. Endless’s Francesco Santinon, from Glasgow, who led the purchase described Arran Aromatics as “one of those quintessentially Scottish brands”.