40,000sq ft the capacity of the


new Hans Grohe HQ in Warwick


IBMG adds new capital


Independent Builders Merchant Group has announced that with the support of its founding sponsor Cairngorm Capital Partners, it has raised additional capital investment from investment firms Ares Management Corporation and Farallon Capital Europe LLP. Martin Stables, IBMG’s CEO (right), said: “The IBMG business model is special and unique in the sector. With five specialist divisions we can take any project from the ground to the roof ridge and ensure it’s supplied


Timber import volumes fall


£594m expected sales for 2023 at Brickability


Group, according to trading update.


£98m of power and hand tools


were stolen from tradesmen in 2023


via an optimised supply chain minimising the miles travelled, ensuring efficient delivery for the specialised trades on site, without the need for multiple suppliers


and the complexity and delays that can cause.” Andrew Steel, Cairngorm Capital managing partner, said: “Despite the economic uncertainty of the last 12 months, IBMG’s investment thesis has been strong and continues to meet all our objectives. It has achieved sustained success since our initial acquisition in 2018, becoming the largest independent builders merchant in Southern England in under four years. This partnership will maintain its strategic trajectory. We are delighted to welcome Ares and Farallon as we embark on the next chapter of growth for IBMG.”


Ibstock gives Aldridge £12 million investment boost


The latest figures from the Timber Development UK have shown that timber import volumes started 2024 around 6% lower than in January 2023 – down by around 45,000 metres squared. This reduction was made up of very different levels of performance in the first month of the year. Softwood, hardwood and plywood imports were all lower than in January 2023, but particleboard, engineered wood, OSB and MDF products all saw imports increase slightly at the start of this year.


TDUK head of technical and trade, Nick Boulton, said: “A truer reflection of the sector’s product performance will be visible towards the end of Q1, but the 6% reduction we’ve seen in January’s figures does confirm the greater stability in the market when compared to the high increases and decreases experienced from 2020 to the end of 2022.


Ibstock has invested over £12m into its Alderidge factory which it said will improve its energy efficiency and quality at the site. This includes installing brand- new dryers, which now include screen-controlled moisture monitoring – this helps minimise heat wastage.


Jason Grimston, factory manager at Alderidge, said: “As factory manager, it has been fantastic to see the impact the £12m investment is having on our operations here at Alderidge.


The upgrades to its factory also include installing a new system, which is largely automated, the setter can now process 10,000 bricks an hour – double the previous machine’s capabilities.


LBS acquires Denman & Sons


LBS is retaining all staff across both sites, creating new and exciting career growth and opportunities.


Rachel and Ben Davies, LBS


The LBS Group has bought Denman & Sons, a building materials supplier in Caerphilly. Established in 1986, Denman & Sons trades from two branches, serving Caerphilly, Blackwood, Newport and Cardiff.


May 2024 www.buildersmerchantsjournal.net


Group, joint managing directors, said: “We are delighted to announce our acquisition of Denman & Sons. This acquisition is a great, strategic fit for LBS in an area that has been a target for us. “We are looking forward to servicing the local community from the large, well-located site and are excited about our future


HSS sales rise, though profits slip back


HSS Hire Group, the tool and equipment hire business, increased sales to £349.1m in 2023, though pre-tax profits dropped slightly from last year’s high of £18.9m, to £11.8m, which the company said was still a ‘solid trading performance’ that outperformed the market. During the year, the Group took the strategic decision to migrate the remaining UK HSS branches to the Builder’s Merchant model, which saw the closure of 16 branches up to the end of the financial year, with more to close this year. This is expected to generate annual cost savings of c£1m. HSS’s low-cost builders’


merchant network expanded to 89 locations, compared with 63 a year ago, and delivered 21% growth on a same store basis. Steve Ashmore, Chief Execu-


tive Officer, said: “I am pleased to report another year of signifi- cant strategic progress alongside resilient financial performance, delivering revenue growth ahead of the market despite a more challenging macro-environment. Customers are engaging with our marketplace platform at an exponential rate.”


plans to transform the branch and enhance our offering. “We are committed to investment in our region and keeping the pound in Wales, and this strengthens our position as the number one independent merchant in South Wales for the long term. Thank you to Craig, Amanda and the Denman family for their support during the transition and we look forward to working with the fantastic team.” Founded in 1931, The LBS


Group is a Welsh business that continues to grow across South Wales, now consisting of 10 brands and a total of 51 branches.


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