Funding facility assists acquisition and ongoing growth of wood supply company

Lostwithiel-based sawn and machined wood supplier, Duchy Timber, has been acquired by David Adam, former managing director at Launceston-based Silvanus Services, a landscaping business. He has secured a significant equity stake in the business and taken on the managing director’s role.
Duchy Timber is one of the largest commercial sawmills in the South West with a state-of-the-art facility, together with timber kilning, treatment and machining facilities.
The original mill was established in 1958 by the Duchy of Cornwall estate and the site and business was acquired in 1995 by Adrian High. The firm currently employs 39 members of staff.
Also part of the £4.5 million turnover group is sister company and specialist timber merchant, Payne Timber, which has depots located at Ottery St Mary in East Devon and Torquay and has 20 members of staff.
David has been backed in the deal with a funding package from Lloyds TSB Commercial Finance, which David asserts, has been incredibly supportive and helpful from the start.
David said: “In spite of the difficult economic conditions this is a really exciting time for Duchy and Payne Timber. We source all of our logs for the mill from sustainably managed woodlands here in the South West.
“This creates local employment for contractors and hauliers, and reduces the volume of imported timber coming into the country – so there is a low carbon footprint and the country’s balance of payments is helped as well.”
“With its high quality, and even higher environmental credentials, locally grown timber is increasingly being sought for construction projects across the region – the mill can supply standard and bespoke sizes in a range of species, including Douglas fir, larch and cedar.”
Over the next few months, David plans to enhance the range of products offered to customers, but does not expect radical changes from the outset. “This is a long term project to build on what Duchy Timber has long been known for – quality and reliability of both product and service,” he said.
Richard Stevenson, regional manager at Lloyds TSB Commercial Finance, said: “This was an extremely interesting project we wished to back from the very outset.
“David presented us with a well-prepared plan, forecasts and deal structure, and the finance facilities we have provided will assist in the ongoing growth and success of the company.”

July 2011