Listed Lancashire toilet roll manufacturing firm Accrol Group Holdings is to set up a new manufacturing plant in Leyland, which will create 80 new jobs.
Work on the plant will start in January and will measure 168,000 sq ft when complete. The facility will initially house two high speed tissue converting lines, while also providing finished goods warehousing space.
Accrol also revealed that the new site has enough space to possibly add two more converting lines if needed and that the investment will support its continued growth with both the discounters and major multiples in the UK.
Accrol Chief Executive, Steve Crossley, said that the additional capacity underlines their investment strategy ahead of growth in state of the art machinery and facilities.
Crossley continued: It will position Accrol to benefit from underlying organic growth in the discount sector and enable further growth with the Major Multiples.
At the same time, we will focus on improving efficiency at the existing Blackburn sites to further increase our total capacity.”
The company is based in Blackburn and floated on the AIM earlier this year, which raised £63.5 million and gave it a £93 million market capitalisation, in a move which saw private equity company NorthEdge Capital achieve its first exit, while retaining a 15% stake.
Accrol was founded in 1993 and makes around 16 million toilet rolls every week, supplying the likes of Wilkinsons, Bookers, Morrisons, Aldi and Tesco.
Majid Hussain, the outgoing CEO of Accrol, said: My father, Jawid Hussain, started this business in 1993 and the family has built it into the successful company it is today.
“NorthEdgeâs investment in 2014 provided the business with the funding to expand its offering and operations further and we believe that now is the right time for the business to IPO to provide a platform to support further contract wins with new customers.