ONE51: Irish rigid plastic products manufacturer acquires US counterpart Encore Industries for EUR 31m / Launching EUR 24m investment programme to meet rising regional demand
Making good on its announcement of plans for “another significant investment” in H2 this year (see Plasteurope.com of 09.09.2016), One51 (Dublin / Ireland; www.one51.com) in early November acquired rigid plastic packaging producer Encore Industries. The USD 35m (about EUR 31m) deal was carried out through One51âs North American subsidiary IPL (Saint Damien / Canada; www.ipl-plastics.com).
The purchase will give One51 a stronger footprint in the North American plastic industrial packaging market. Founded in 1997, Encore operates three facilities, located in Cambridge, Ohio; Forsyth, Georgia; and Remer, Minnesota / USA. The company is expected to post pro-forma revenues of almost USD 54m and EBITDA of USD 5.8m for the financial year ending on 31 December 2016. The purchase will bring a complementary customer base, One51 said, offering cross-selling opportunities for both IPL and Encores products, and will also provide new manufacturing facilities as well as an extensive distribution network across the US.
In addition to the acquisition, One51 also announced a CAD 36m (EUR 24m) investment programme at IPL, aimed at expanding production capacity in both the US and Canada. The Irish group acquired a majority stake in IPL in 2015 (see Plasteurope.com of 15.07.2015) and has since seen strong demand for its product portfolio. Calling the investment and the Encore purchase a significant step forward in One51s continued growth in the global plastic packaging market, company CEO Alan Walsh added that, we look forward to developing the business in the years ahead into a leading North American rigid plastic packaging manufacturer.
With operations in Ireland, the UK, Canada, the US and China, One51s Plastics division specialises in the design, development and manufacture of a wide range of rigid plastic products. The company employs about 1,900 workers.
