Zeus, the Irish-owned global packaging company, has purchased Limerick Packaging, a supplier to the Irish industrial and transit packaging market.
Founded in 2002 by Connie Ryan and Mike Boland, Limerick Packaging has an annual turnover of €17.4m.
The business is focussed on providing corrugated packaging solutions to the health and food-processing sectors.
Financial details of the deal were not disclosed.
The acquisition marks an ongoing investment strategy by Zeus to expand its capabilities in the corrugated packaging sector across Ireland.
Zeus says it intends to invest in its industrial and transit packaging offering, strengthening its current infrastructure through the acquisition of Limerick Packaging.
Zeus will invest in staff, design, and technical capabilities, along with expanding the range of products and services that it offers.
Zeus CEO Keith Ockenden said the acquisition of Limerick Packaging “is a major step in the next phase of our growth plan”.
“Integrating both Limerick Packaging’s and Zeus’s industrial and transit packaging reach in Ireland, coupled with our foothold in the UK market, will deliver economies of scale, operational efficiencies, and customer service improvements.”
He added that the acquisition will “realise greater supply chain security to our business within Ireland”.
The company said: “[We are] acutely aware of the knock-on effect of increases in raw materials and energy. In particular, in the UK, we are keeping an eye on major issues affecting other companies, from gas prices to CO2.”
While these rises in costs have not directly affected Zeus production yet, the company said it is building those predicted increases into its strategy for 2022 and beyond.
Founded by Brian O’Sullivan in 1998, Zeus has an annualised turnover of €325m and employs 670 people worldwide.
The addition of Limerick Packaging’s 45 staff will bring Zeus’s personnel on the island of Ireland to 221.
Earlier this year, Zeus completed a €40m, two-year programme of acquisitions with the purchase of Austrian firm Petruzalek.
Zeus, which has grown at a rate of 7pc to 10pc per annum for the last five years, now has distribution and logistics capabilities in food and industrial packaging across 26 countries.
Assisting Zeus in the purchase of Limerick Packaging with funding, tax and legal advice, and financial due diligence were Sean O’Keeffe, Ulster Bank and OFX Solicitors in Cork.