The Berwick-based maltsters has entered into an agreement to acquire 40 acres of land in Speyside, Scotland, where it plans to build a state-of-the-art maltings.
The land is near Rothes, ten miles south of Elgin, in a region that is world-famous for its Scotch whisky distilleries – many of whom use the company’s malts in their whiskies.
The construction of a new maltings would expand its sites to three, with its others in Berwick and Tivetshall St Margaret, Norfolk.
Managing director Tim McCreath said: “I am delighted to announce that we have entered into this agreement, which aligns with the company’s long-term strategic objectives.
“Having a maltings and malting barley storage facility in Speyside is something we have given serious thought to for a number of years and, subject to planning and due diligence, we will begin construction when the time is right and demand is there from our customers.”
Earlier this year, the fifth generation family firm announced a profit before tax of £9.8million (2018: £7.5million) and an increased turnover of £168million (2018: £156.6million).
One of the key reasons behind the increase in both profit and turnover was a rise in malt sales volumes through increased plant utilisation.
The company’s unique infrastructure – it also has agricultural merchanting divisions McCreath, Simpson & Prentice (MSP) and John Guthrie - ensured that the malting business secured sufficient raw material following an extremely difficult 2018 harvest to deliver a supply of high quality malt throughout 2019.
The firm was founded in Alnwick in 1862.