BOXMORE INTERNATIONAL
Northern Ireland: Packaging business selled to Chesapeake / US firm strong in specialty sector
Specialty US packaging and merchandising provider, Chesapeake (Richmond, Virginia, USA) has acquired the Northern Ireland business of Boxmore International (Ennis House, Enterprise Way, Hightown Industrial Estate, Newtownabbey BT36 4EW). The all-cash deal was valued at GBP 191m and represented a 71% premium on the Boxmore share price. Boxmore has 15 manufacturing operations in seven countries and had a turnover of GBP 106.8m in 1998, which generated a pre-tax profit of GBP 13.6m. In the first six months of 1999 turnover was GBP 60.4m. Net assets at 30 June last year were valued at GBP 55.8m.
Sales of plastic containers, folding cartons, self-adhesive labels, foils and leaflets to the pharmaceutical and healthcare industries account for half of the Boxmore turnover. Plastic containers, preforms, closures, cartons and labels destined for food and drink applications make up a further 30%. The third main business is to the chemical and industrial markets.
“Boxmore is one of Northern Ireland´s most successful companies,” commented chief executive, Mark Ennis. “Since it floated in 1989, we have achieved annualised compound growth in turnover and profits of 23% and 21%, respectively.” Chesapeake ceo, Thomas Johnson welcomed the Boxmore acquisition as providing an opportunity to strengthen his company´s existing operations in Europe, which include activities in France, the UK and Spain. “Together, we are well positioned for success in today´s trading environment, with scale, common strategic goals and the financial resources to implement them.”
Chesapeake had 1998 sales of USD 950.5m, providing a pre-tax profit of USD 55.8m. It is listed on the New York stock exchange and has a market capitalisation of some USD 550m. The company considers Europe an attractive area for future growth and it expects to develop further its pan-European supply network. It will continue to apply a strategy of differentiating itself from the competition by offering products that are distinctive and to respond quickly to changing customer requirements.
Sales of plastic containers, folding cartons, self-adhesive labels, foils and leaflets to the pharmaceutical and healthcare industries account for half of the Boxmore turnover. Plastic containers, preforms, closures, cartons and labels destined for food and drink applications make up a further 30%. The third main business is to the chemical and industrial markets.
“Boxmore is one of Northern Ireland´s most successful companies,” commented chief executive, Mark Ennis. “Since it floated in 1989, we have achieved annualised compound growth in turnover and profits of 23% and 21%, respectively.” Chesapeake ceo, Thomas Johnson welcomed the Boxmore acquisition as providing an opportunity to strengthen his company´s existing operations in Europe, which include activities in France, the UK and Spain. “Together, we are well positioned for success in today´s trading environment, with scale, common strategic goals and the financial resources to implement them.”
Chesapeake had 1998 sales of USD 950.5m, providing a pre-tax profit of USD 55.8m. It is listed on the New York stock exchange and has a market capitalisation of some USD 550m. The company considers Europe an attractive area for future growth and it expects to develop further its pan-European supply network. It will continue to apply a strategy of differentiating itself from the competition by offering products that are distinctive and to respond quickly to changing customer requirements.
15.04.2000 Plasteurope.com [17450]
Published on 15.04.2000