Harper Macleod advises on VIMBI of Scotwood Interiors

Law firm Harper Macleod has advised on the vendor initiated management buy-in of Scotwood Interiors, the award-winning office fit-out and refurbishments business.

Established in 1964 by Allan Scott, Scotwood Interiors specialises in the design and delivery of turnkey fit-outs and refurbishments for a range of commercial settings including offices and industrial spaces. It is a principal contractor with an extensive list of blue-chip clients across Scotland. The company employs around 40 staff from its East Kilbride headquarters.

Instigated by  the vendors, the transaction sees Doug Kerr and Jim Scott, son of founder Allan, step down as joint managing directors of Scotwood. Jim will support the new management team by continuing as a director and Doug will step back from the business and transition towards retirement.

Chris Nugent comes in as the new managing director and will lead the business going forward, with the support of Jim and, fellow director, John Taylor. Chris Nugent joins the business with 20 years’ experience as a managing director in the construction sector and is a Fellow of the Chartered Institute of Building. It is expected that the leadership change will be seamless, with customers and suppliers experiencing the company operating on a ‘business as usual’ basis.

Paul Macdonald, a partner in Harper Macleod’s corporate, commercial and regulatory team, led on the legal advice around the structuring and implementation of the transaction, supported by Aiden Paterson (Corporate trainee), Tony Cameron (Banking partner), Kirsty Watson (Banking senior solicitor), Scott Milligan (Employment partner) and Deborah Rookes (Employment senior solicitor). Donald Wilson of Barclay Gilmour Partners led on corporate finance advice for the transaction and Kevin Meaney of KXM Tax Advisory Limited advised on tax.

Paul said: “Scotwood Interiors is an award-winning business providing bespoke and high-quality fit-outs for an enviable client roster. With a strong focus on delivering innovative designs, Scotwood has led the way as employers have invested in their spaces in recent years.

“The office, and what people want from their workplace, has changed significantly in recent years, particularly since the pandemic and the development of new ways of hybrid working. They are places of creativity and collaboration, and Scotwood are independently recognised for delivering high-quality environments which suit the modern way of working. Scotwood has completed several fantastic fit-outs and upgrades to Harper Macleod’s offices over the years.”

Jim Scott of Scotwood commented, ““After 34 years of a fantastic partnership with Doug, which has seen us navigate the highs and lows of running a business, it’s the end of an era but a new one begins.

“I’m delighted to be welcoming Chris to Scotwood as MD. He shares our passion and vision to continue the outstanding success we have achieved over the years. I’m also grateful to Paul Macdonald and the Harper Macleod team for their advice and expertise in negotiating the deal, which will benefit all parties.

Harper Macleod’s corporate, commercial & regulatory team is one of the most active of its kind in Scotland. In the last 12 months, it has grown its proportion of transactions completed in Scotland where it was the principal advisor, completing 19% of all reported transactions (153 transactions out of a total of 793 to be reported). It advises on all aspects of corporate activity – from high-profile M&A to SME investment. It is one of Scotland’s largest with lawyers in Glasgow, Edinburgh and the Highlands, Islands and Moray.

It advises Scotland’s leading family-owned, employee-owned, and owner-managed businesses, specialising in healthcare, energy, marine and rural economies, technology, and food & drink. It is an expert adviser on business succession and to entrepreneurs and high-growth businesses, particularly those seeking investment.  It supports businesses across the UK with their M&A activity.