Former Dundee Football Club chairman Bob Brannan is to lead a major expansion of independent optician group Duncan & Todd following a multi-million investment in the business.
Mr Brannan, who took over at Dens Park in the wake of the club’s first administration in 2003, has been installed as chairman of the group after a £5.6m investment from the Business Growth Fund.
The fund an independent company established to provide growth capital to expanding UK-based businesses said the cash would be used to fund acquisitions by Duncan & Todd (D&T) in new and existing geographic territories, increase overall manufacturing capacity and support sales growth.
BGF said its investment was for a minority stake in the Aberdeen-based group, and Bob Brannan had joined as chairman as a result.
BGF senior investment manager Patrick Graham has also been appointed to the board.
Mr Brannan spent seven years at Dundee FC during which he helped keep the club alive following the disastrous financial collapse in late 2003.
However, that achievement was later overshadowed when the club re-entered administration for a second time in 2010.
Outside of football, Mr Brannan has had a long and varied career that has seen him take on roles including chairman of Ben Sherman and group managing director of whisky producer Whyte & Mackay.
He is currently chairman of Dunfermline-based Vets Now.
The D&T deal is BGF’s eighth Scottish-based investment and it has now ploughed more than £42m into companies north of the border.
Duncan & Todd was established in 1973 and is one of Scotland’s largest independent optical chains, with a turnover of more than £10m, and 182 staff. Its 23 retail stores include outlets in Tayside and Fife.
The business was the subject of a management buy-out led by current managing director Frances Duncan in 2007 and operates across three distinct divisions: the retail offering, display screen equipment compliance and safety eye care services for corporate customers, and the manufacturing of spectacle lenses.
“I have always been committed to the business but my allegiance and goals for Duncan & Todd became more evident during the MBO in 2007, and now this growth capital injection from BGF allows me to focus on bringing these goals to fruition in the future,” Ms Duncan said.
“We have a clear vision that will see improvements across all divisions in the business. As well as acquisitions in new territories, we are committed to enhancing our existing retail units to cater for our growing customer base.
“We can now increase our manufacturing capacity and strengthen the promotion of our own ‘ID’ branded goods.
“It was important to find a long-term investor of the right quality. The team at BGF share the same values and goals as the Duncan & Todd team, and we look forward to working together to generate further success for the business.”
Patrick Graham of BGF said, as a profitable business with significant growth potential, D&T met all of its criteria for investment.
“Much of the chain’s success has come from strategically locating its retail units in market towns,” Mr Graham said.
“BGF’s support will now allow Duncan & Todd to widen its horizons, and discussions are already under way to acquire a number of additional retail units.”
The market for UK ophthalmic goods and services was worth £3.54 billion last year, representing an increase of 13.8% since 2008. Market research estimates that the sector will grow by 9.9% between this year and 2017 to a value of £4bn.