Corrugated packaging manufacturer DS Smith has confirmed its acquisition of Austrian packaging supplier Duropack for €300m, as it seeks to enhance its international performance.
The acquisition could be completed during the second quarter of 2015 subject to regulatory approval, and will be financed from “existing facilities,” the UK-based company said. The price of shares in DS Smith rose by 3.8% yesterday, following the announcement of the news.
DS Smith chief executive Miles Roberts said: “Duropack is an excellent business and a highly complementary fit. It is a further important step in our strategy to leverage our scale and strengthen our geographic footprint. Duropack has high quality assets with market leading positions. We look forward to it contributing to the overall growth of DS Smith in attractive markets where we were previously under-represented.
“Since our half-year, we have continued to make good progress with our customers, benefitting from our differentiated commercial offering and the ongoing roll out of our design centres. Our volume performance has been strong, as the rapidly changing retail environment and consumer buying patterns make well-designed recycled packaging increasingly relevant.”
© FoodBev Media Ltd 2020