One51 scoops US plastics firm for €32m
Published 04/11/2016 | 07:48
Irish plastics operator One51 has acquired American company Encore Industries in a deal worth $35m (€32m).
Encore, which is a producer of rigid-plastic packaging for the North-American market, has been acquired through IPL, One51’s Canadian subsidiary.
The deal adds three new US locations in Ohio, Georgia, and Minnesota to One51's portfolio.
One51 is to invest a further €24.3m through a capital investment programme to increase Encore's production capacity in both Canada and the US.
The deal for the US firm is a combination of cash and debt with the newly acquired company predicted to bring in $53.8m in revenue this year.
One51 chief executive Alan Walsh said the move represents a "significant step" in the company's growth into the global market.
“We are excited by the growth opportunities that the expansion of IPL’s operations will provide One51’s growing plastics division and we look forward to developing the business in the years ahead into a leading North-American rigid-plastics packaging manufacturer," he said.