Forest Garden plc is to invest £5m over the next three years refining its manufacturing processes, developing new products and improving customer service.
The Worcester-based company is making capital improvements aimed at turning its Eardisley and Lockerbie production facilities, which manufacure the Larchlap brand, into “supersites”.
The money has been released by the Royal Bank of Scotland plc and major shareholders venture capitalist 3i Group plc and Michael Timmis.
Three existing buildings at Eardisley will be refurbished to create one 3,000m2 manufacturing and treatment facility, increasing the site’s capacity by 30%. An additional 28,000m2 will be developed into storage space to accommodate and meet seasonal stock requirements.
The improvements are due for completion early in the new year.
At Lockerbie, about 2,400m2 of additional covered space will be provided to house four dedicated shed packing lines capable of handling more than 600 sheds per day, as well as creating extra dry storage. Further investment in manufacturing facilities will see production capacity grow by 20% in 2005.
The improvements are planned for completion by mid-February 2005.
Group chief executive Simon Ashton said: “Having secured new investment for 2005 and beyond, we are now focusing on the future success of the business. Over the coming year our primary aim is to invest in the continued improvement of operational efficiency and effectiveness, right across the group.”
New products being launched include the Lifespace shed building system and Puzzledeck, a modular decking system.