Insulation industry news from Global Insulation
UK: TechnoNicol International plants to use Stirling-based Superglass to launch an expansion programme in the US and to develop its market in the UK and Ireland. TechnoNicol has created a new division at the company it purchased in July 2016 to achieve this aim and has made senior appointments to support it. The company aims to establish a ‘significant’ market share in North America over the next five years.
Ken Munro, Superglass’s chief executive officer, has become chief executive officer of TechnoNicol (UK, Ireland and USA). In this newly created role, Munro will have responsibility for the management and coordination of TechnoNicol’s presence in these regions and will continue to lead and develop the Superglass business as it is incorporated into this expanded structure.
Munro will also have responsibility for the global development of the Superglass brand as it begins to play a part in TechnoNicol’s overall insulation products strategy. As further businesses are developed, both organically and by acquisition, they will be integrated into this unified regional structure, with new jobs likely to be created in Stirling as the regional headquarters takes shape.
Stuart Rowell, who is currently Group Business Development Director at Superglass, and Girts Dikelsons, currently Regional Director TechnoNicol (UK and USA), will be responsible for sales and marketing activity across all product lines in the new region and are appointed as Regional Sales Director (Insulation Solutions) and Regional Sales Director (Bitumen Membrane Solutions) respectively.
Theresa McLean, Superglass’s Chief Financial Officer, has been appointed as chief financial officer of TechnoNicol (UK, Ireland and USA) and Mark Atherton, Operations Director at Superglass, becomes Chief Production Officer and Head of Operations for the newly expanded regional business. Rowell, Dikelsons, McLean, and Atherton will all report directly to Ken Munro.
UK: TechnoNicol intends invest up to Euro5.9m to double the production capacity to at least 55,000t/yr at Superglass’ mineral wool plant in Stirling. The upgrade will involve building a new furnace at the site to come online by 2020, according to the Scottish Herald. The investment is intended to boost the insulation producer’s sales in markets in the UK and western Europe. The decision follows shareholder approval of TechnoNicol’s purchase of Superglass.
UK: Sergei Kolesnikov, president of construction materials producer TekhnoNicol, will acquire Superglass. Kolesnikov has made an offer of US$11.49m for the Scottish glass mineral wool insulation producer via his company Inflection based in Cyprus. The board of directors of Superglass unilaterally recommended approving the purchase proposal. The shareholders who own 63.5% in Superglass have already submitted irrevocable obligations to sell their stakes.
"This transaction and the commercial partnership between Superglass and TekhnoNicol, is a strategic opportunity for all parties, providing TekhnoNicol, with a presence in the UK and Irish insulation markets. We are impressed with Superglass' management team and look forward to working with them," said Sergei Kolesnikov, the sole shareholder of Inflection.
UK: Ken Munro, the chief executive officer of Superglass, has been appointed the chairman of the Mineral Wool Insulation Manufacturers’ Association (MIMA). He replaces David Travill, managing director of Isover Saint Gobain, in the role.
“I would like to thank David for his leadership and contribution, and I am pleased to be assuming the chair at such a critically important time for energy efficiency policy. Investment in the fabric of our homes and in their energy efficiency is good for the economy, increases productivity and attracts investment,” said Munro. “In Scotland, our government has already committed to making the energy efficiency of our homes an infrastructure priority and is supported by the influential Energy & Climate Change Committee, led by Scottish National Party Chair, Angus MacNeil. This is an encouraging position but we would like to see this realised across the United Kingdom.”
Sarah Kostense-Winterton, executive director of MIMA, added that the organisation aims to protect consumers from energy price volatility and from fuel poverty, whilst reducing the UK’s carbon emissions.
UK: Superglass has appointed Stuart Rowell as its business development director. He will take responsibility for all domestic sales and exports, marketing and commercial strategy, according to the Herald newspaper. Rowell joins Superglass from the Positive Momentum consultancy.
UK: Chris Lea, Finance Director, is to leave Superglass on a date still to be agreed, but no later than 30 June 2016. A search process for a new Finance Director is underway and in the interim period, Lea will continue to be employed on a full-time basis until his effective date of departure is confirmed. Lea joined the Stirling-based company in December 2013. He helped to institute the turnaround strategy and refinancing of the company in October 2014.
UK: Superglass has reported that its sales volumes have fallen by 2% in the half year to the end of February 2016. No exact figures were provided in the trading statement. Selling prices have increased by 4% year-on-year in the period due to a reduction in production capacity. Its expected unaudited earnings before interest, taxes, depreciation and amortisation (EBITDA) loss was approximately Euro0.65m, an improvement of Euro1.81m from the prior year.
The mineral wool producer also reported that its new blowing wool solution for new build housing, Superwhite 34, has gained ‘traction’ in the market. A number of national and regional contractors stock and install the British Board of Agrément certified product.
UK: Superglass has appointed Jan Holmstrom to its board. Holmstrom, aged 63 and a Swedish national, will represent Superglass's majority shareholder Peter Gyllenhammar as non-executive director, according to the Herald. Gyllenhammar owns 38.3% of the shares in Superglass.
UK: Superglass has reported a growing loss before taxation of Euro13.4m for its 2015 financial year that ended in 31 August 2015. Alongside this a fall in revenue of 11% year-on-year to Euro29.8m was noted. The drop was blamed on a planned reduction in Eastern European exports and a further deterioration in activity from government-sponsored schemes.
The UK-based glass wool manufacturer also confirmed Mark Cubitt as its chairman on a permanent basis. Cubitt was appointed interim chairman on 19 June 2015 following the resignation of John Colley.
UK: Superglass Holdings reported that its revenue fell by 25% year-on-year to Euro29m in its financial year that ended on 31 August 2013. In the UK-based mineral wool producer's preliminary results statement, chief executive Alex McLeod conceded that the company had faced 'extremely challenging trading conditions'.
"The transition from CERT to ECO/Green Deal has caused a major gap in activity within the retrofit market for both loft and cavity insulation. Combined with abnormally low levels of house-building activity in the UK by historical standards of new unit construction despite recent early signs of recovery, the net effect has been a surplus of UK-based insulation manufacturing capacity and highly competitive market conditions," said McLeod. In Superglass' fiscal 2013 its operating loss grew to Euro13.2m from Euro2.98m in the fiscal 2012.
Both McLeod and chairman John Colley highlighted Superglass' capital investment programme, Project Phoenix, which delivered cost savings in reduced energy consumption and waste of Euro3.36m in the 2012 – 2013 financial year. Superglass expects revenues to recover slowly in 2014.