RBS provides services to major timber company
The Royal Bank of Scotland and James Donaldson & Sons Ltd (JDS) have forged a new banking relationship that will see RBS provide strategic funding services across the Fife-headquartered JDS Group.
The agreement will benefit all four companies in the JDS Group: James Donaldson Timber Ltd, Donaldson Timber Engineering Ltd, MGM Timber (Scotland) Ltd, and James Donaldson Insulation Ltd.
RBS will provide a debt structure to support the existing operating, capital expenditure requirements and growth plans of the Group with a mix of term, capex revolving credit and working capital facilities.
Brodies LLP played a key role in working out the new funding arrangements, acting as legal adviser to RBS.
Andy Kilgour, regional director of RBS Corporate in Edinburgh, said: “A family business with a long and proud history, James Donaldson & Sons remains very focused on its future with ambitious growth plans.
“We are delighted to be working closely with the team as they embark on the next chapter of the company’s history and look forward to providing our on-going support for the journey ahead.”
Bruce Stephen, head of banking and finance at Brodies, added: “We were pleased to work with the RBS team on this key strategic rebank to ensure smooth transition for both the customer and the bank.
“Good communication, an in-depth understanding of requirements of all parties and resolving potential hurdles resulted in a very successful transaction and great platform for the JDS business.”
HBJ Gateley advised James Donaldson & Sons Limited on the negotiation of the funding package from RBS.
Euan Cluness, partner with HBJ Gateley, said: “The move to RBS as funder was a significant transaction for James Donaldson & Sons Limited and will provide them with a fantastic platform to fund future expansion.
“It was of key importance to the Donaldson Group that the transfer was undertaken on time and with the minimum of disruption to their business and this was achieved by the pragmatic and commercial approach taken by all parties.”