Europe's leading polyethylene film manufacturing group, British Polythene Industries PLC (BPI, 96 Port Glasgow Road, GB-Greenock PA15 2RP) have acquired the retail bag manufacturer Bibby & Baron Group Ltd (BBG, Dumers Lane, GB-Bury BL9 9PF) for £ 4.2m. BBG, with a turnover of £ 20.4m in 1995 and profits of £ 1.5m, was itself the subject of an £ 8m management buyout from the Low & Bonar Group just over a year ago. This acquisition is the thirteenth by BPI since February 1995.

Turnover for the BPI group in 1995 was £ 352m up 31% whilst operating profits increased by a similar level to £ 29.7m (up from £ 22.9m). According to BPI Chairman, Cameron McLatchie, "The group enjoyed an excellent year despite certain of our end user markets continuing to experience mixed fortunes." McLatchie predicts sales of £ 400m for 1996 if current raw material prices are maintained.

The group employs 3,500 people working at 45 locations. Apart from being by far and way the largest polyethylene film extruding group in Europe (they are believed to consume over 300,000 t/y of polyethylene), the BPI group are noticeable for being almost exclusively based in the UK. Their only overseas activities include a small plant in Ireland and a joint venture operation in China. Although the chairman reported being "extremely pleased" with their Chinese joint venture, with productivity and quality on a par with the UK, it has still yet to make profit. Even so the board is considering further expansion during 1996.

BPI are also committed to recycling and during 1995 invested £ 4.5m to upgrade facilities. The group estimates that it is responsible for half of all polyethylene film recycled in the UK, including approximately 20,000 t from its own factories.