Lonsdale acquires plastic packaging businesses of Suominen
Lonsdale Capital Partners has acquired the flexible plastic packaging businesses of Suominen Corporation.
Suominen Flexibles supplies printed plastic film and certain converted products for consumer and industrial applications from three factories in Finland and Poland. It also has sales offices in Sweden and Russia.
In 2013, Suominen Flexibles had net sales of EUR60 million.
Lonsdale is acquiring the business for EUR20 million plus a small earnout. The management team and Suominen Corporation will own significant minority stakes in the business going forward. Debt facilities were provided by Nordea Bank Finland and a vendor loan by Suominen Corporation.
The company operates in a sector well-known to Lonsdale, particularly Alan Dargan who has been a principal and advisor for over 25 years in the packaging and paper industry.
Dargan says: "The existing management team and staff at Suominen Flexibles, led by Reima Kerttula, have grown profits significantly in 2014. Our objective is to build on and grow Suominen Flexibles in the Nordic countries and in central and eastern Europe. We are confident that Suominen Flexibles, led by incoming CEO Borge Kvamme and deputy CEO Reima Kerttula, with our focus and resources will have a bright future”.
Borge Kvamme, who until recently was CEO of Kobusch, a European flexible packaging business headquartered in Germany, says: "We have acquired a group with experienced and ambitious management and staff. The deep knowledge that Suominen Flexibles has of the plastic packaging sector, its core asset, will be strengthened by enhanced customer focus, increased efficiency and a boost in innovation.”
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