Ross to step down as Superglass unveils plans for factory upgrade

Superglass chairman Tim Ross is to step down from the Stirling-based firm after its finances were secured by a share placing and debt-for-equity swap.

Speaking at the group’s annual meeting yesterday, Ross said he would leave the post as soon as a replacement had been found.

He also delivered an update on trading at the firm, which underwent a restructuring in December to raise capital for investment while cutting its £17 million debt pile.

The company has previously blamed low demand for insulation through the UK government’s carbon emissions reduction scheme (Cert) for several years of disappointing sales.

Yesterday it said there had been a pick up in trade from the scheme in the three months from September, but business from new-build homes slowed in the same period, leaving sales in line with previous expectations.

Ross, who has been chairman since 2007, said the firm was continuing to work on broadening its routes to market.

He added that energy costs had risen significantly in recent months, adding to cost pressures.

Superglass, which made a £600,000 loss in the year to 31 August, plans to invest £6.5m of the proceeds of last year’s share placing in upgrading its factory in Stirling.

Once completed in March 2013, the company expects upgrades to machinery will deliver annual cost savings of up to £3.6m while also improving the quality of its product and raising production capacity by 10 per cent.

Ross said early progress on the programme was in line with the project brief.