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The surface is beginning to bubble again. At least that's the feeling starting to emerge, as common sense finally gets to grips with reality. Then again others see a different future as Chris Ball of MBA Associates suggested just a couple of weeks ago in these pages, the re-appearance of 'pre-pack ' as a get out of jail free card was inevitable. That isn't what I was inferring in suggesting we're off, I was looking at the always positive push coming from the likes of Deceuninck, just 5% off its usual volumes. The majority of the industry is made up of those that spend their time pushing forward in a positive manner, they are the ones that should be highlighted and applauded.

However, it is clear some outfits have been poorly managed, as in they have been losing money hand over fist for some time. It is not about making mistakes or missteps it's about not having the passion and energy required as management. For those individuals the 'pre-pack ' is their personal life-line. To the rest of us, the taxpayer, the supply chain will be forced to pick up the tab, and then to rub it in, clear of the debt to maintain they get to undercut in the market place. The UK 'pre-pack ' was intended to save jobs just as it is with the Governments Furlough Scheme, nothing else. The UK version is distorted from the aspiration of the US chapter 11/22 version. There it is about buying time for management to take responsibility and restructure the business to regain a profitable footing. Instead the UK has evolved a structure of saving the skin of the poor performing management at the expense of those that contribute to an industry and the economy. The irony in this version is, while the management get to keep their jobs, their workers still get to lose theirs. Was that the intention for the system ?

In what for the moment will seem a mixed up World we will see going forward a whole raft of contrivances to enable an advantage to be gained. Some of it deserving, some of it border line deceit. As it is said, all is fair in love and war and business.

Volatility IS Opportunity?

Stormy seas are where money is made

We have many years of experience in mergers and acquisitions in the building products sector and can point to sector changing deals that we have been involved with both on the buy and sell side for clients. As a result our phones are now ringing with interested parties on both sides of that fence some who see market volatility as a crisis not to be wasted and some who see a last throw of the dice.

If you are on the buy side of a transaction the first thought is of course that prices will be depressed and that a bargain is there to be had and that's true but it's not as obvious as it looks. Sellers of what are good assets (cash generative, profitable, sustainable, well capitalised businesses) are unlikely to agree to a pitch that steals the business from them (as they would see it) for less than it's long term value based on what they may see as an 'event'rather than a long term destruction of their market or business model. So if you are on the buy side how do you value that opportunity? …»

Volatility IS Opportunity? © Chris Ball June 2020

Deceuninck -
'Deceuninck sales bounce back quickly to pre-lockdown levels'
Deceuninck has seen a sharp rise in sales as the industry moves out of lockdown. The leading PVC-U systems company says sales in June are already at 95% of usual volume. From 1st June, all Deceuninck fabricators were back to work. MD Rob McGlennon says: “We ’re pleased to say there ’s been a very fast and strong recovery with Deceunin ...more
CORGI Fenestration -
'CORGI Fenestration publishes links to changes to government’s covid-19 business suppo'
The Government has been busy in the last few days issuing a large number of updates and changes to the various support packages available for businesses in the UK. CORGI Fenestration has published links to the most relevant to the glazing installer and fabricator sectors on its website. As with its previous Covid-19 documents these are free fo ...more
'Drop in sales forces business review for VEKA plc.'
Burnley based uPVC window system company VEKA plans to launch a consultation process, which unfortunately may result in job losses. In March this year, Burnley based uPVC window system company VEKA made the difficult decision to temporarily close operations in the UK and place most of its staff on Furlough due to the COVID-19 Pandemic. H ...more
Purplex Marketing -
'Record level of interest in home improvements'
Online search traffic for home improvements is continuing to rise rapidly – with interest from consumers at an all-time high in many cases. Leading full-service marketing agency Purplex tracks Google search data and, despite the impact of COVID-19, is reporting a surge in consumer interest. ‘Double Glazing ’ has bounced back to p ...more
Bison Frames (UK) Limited -
'Fulfilling consumers’ needs will be more important than ever'
Bison Frames, home to the Genesis Collection of windows and doors has seen a strong pipeline of orders since reopening the business in May, 2020. Marcus O ’Boyle, Business Development & Marketing Manager at Bison Frames believes this immediate upturn is down to the changing needs of the consumer during the lockdown. He said: ”Spikes on Goo ...more
Masterframe Windows -
'Masterframe Windows stand virtually behind their customers'
During lockdown the Directors at Masterframe continued to work, talking to customers via one on one zoom meetings to get a feel of how they were weathering the storm both personally and commercially. They then took the time to a look at how they could help minimise the impact on their customer ’s businesses and help them to emerge from the crisi ...more
Guardian Glass Europe -
'Merck’s Liquid Crystal Windows Business and Guardian Glass Announce Strategic Partner'
strong Bertrange, Luxembourg, June 9, 2020 – Merck, /strong a leading science and technology company, today announced a strategic partnership with Guardian Glass to commission sales of eyrise® dynamic liquid crystal windows. With this partnership, Merck aims to expand the customer base of its Liquid Crystal Windows business by leveraging addit ...more
Swisspacer -
'Mountain resort Feuerberg in Austria scores with energy efficiency and top comfort'
Mountain Resort Feuerberg is not only energy efficient but also offers a high degree of comfort – all thanks to SWISSPACER ULTIMATE Kreuzlingen / Switzerland, June 2020 Sparkling lakes, enchanted forests and impressive mountain landscapes adorn Austria ’s southern province of Carinthia. Just below the summit of Gerlitze Alpe at 1,769 me ...more
Epwin Window Systems -
'Epwin Window Systems ramps up their controlled re-opening'
Epwin Window Systems began a controlled reopening of their Telford operation on 4th May, 2020 and have continued to scale up their operation in line with increasing customer demand. Clare O ’Hara, Managing Director of Epwin Window Systems, said: “Since our re-opening, we have continued to scale up the teams across all key business fun ...more
Deceuninck -
'Deceuninck provides practical Covid-19 advice and PPE kits for a safe return to work'
Deceuninck has produced a Covid-19 leaflet with practical advice for fabricators and installers, a series of eleven Health & Safety posters and PPE kits to help fabricators return to work safely. The leaflet gives advice on keeping employees safe and reducing the risk of Covid-19 transmission in the workplace. It also offers practical g ...more

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