Smurfit Kappa GrpPLC Statement re Expansion of Corrugated Packaging Operations in the UK
April 15 2015 - 6:00AM
UK Regulatory
TIDMSKG
Statement re Expansion of Corrugated Packaging Operations in the
UK
SKG.I SKG.L
Dublin, London | 15 April 2015: Smurfit Kappa Group ('SKG' or
the 'Group') one of the world's largest integrated manufacturers of
paper-based packaging products with operations in Europe and the
Americas, is pleased to announce that it has agreed to acquire
Inspirepac, a non-integrated corrugated, high quality print and
display business in the UK (the 'Transaction') from the Logson
Group.
Inspirepac is a private company with 279 employees, and operates
two packaging plants and a further two erecting plants in the North
of England. The transaction will further enhance Smurfit Kappa's
market leading position in the UK market, and build on our existing
capabilities in the high quality print and Point of Sale market
segments.
The transaction will be completed for a consideration of GBP43.5
million and will be immediately earnings accretive. It is expected
to close in the second quarter of 2015 subject to customary closing
conditions. Based on 2014 EBITDA of GBP6 million and expected year
one synergies of approximately GBP1.2 million, the Group will
complete the acquisition at a post synergies multiple of 6.0 times
EBITDA.
Tony Smurfit, COO and President of Smurfit Kappa Group
commented: "We are delighted with the announcement of this
acquisition and look forward to welcoming the Inspirepac team into
Smurfit Kappa UK. They have built excellent businesses in many
product and customer sectors which will add to our existing
strengths, and support our continued drive to 'Open the Future'
within the UK packaging market."
About Smurfit Kappa
Smurfit Kappa is one of the leading providers of paper-based
packaging solutions in the world, with around 42,000 employees in
approximately 350 production sites across 32 countries and with
revenue of EUR8.1 billion in 2014. We are located in 21 countries
in Europe, and 11 in the Americas. We are the only large-scale
pan-regional player in Latin America.
With our pro-active team we relentlessly use our extensive
experience and expertise, supported by our scale, to open up
opportunities for our customers. We collaborate with forward
thinking customers by sharing superior product knowledge, market
understanding and insights in packaging trends to ensure business
success in their markets. We have an unrivalled portfolio of
paper-packaging solutions, which is constantly updated with our
market-leading innovations. This is enhanced through the benefits
of our integration, with optimal paper design, logistics,
timeliness of service, and our packaging plants sourcing most of
their raw materials from our own paper mills. Our products, which
are 100% renewable and produced sustainably, improve the
environmental footprint of our customers.
This information is provided by Business Wire
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