Tue, 05 Jan 2021 | BUSINESS SALE
Tamworth-based One51 ES Plastics has agreed to acquire two businesses from Coral Products for £7.9 million. The acquisition of Coral Products (Mouldings) (CPL) and Interpack is expected to be completed in February 2021, with a back-stop date of the end of April 2021.
One51 ES Plastics is a UK subsidiary of Canada-headquartered IPL Plastics Group and the acquisitions will see IPL further expand its presence as a supplier of bins and boxes to the UK’s waste and recycling market.
According to IPL, it currently works with 90 per cent of UK local authorities. IPL was acquired by Chicago-based private equity firm Madison Dearborn Partners in October last year. In the UK, its other subsidiaries include MGB Plastics and Straight.
Coral Products (Mouldings) is a manufacturer and distributor specialising in plastic moulding products across a range of sectors. The company’s 100,000 sq ft site in Haydock has over 50 dedicated machines to supply its diverse range of customers.
Following the acquisition by One 51 ES Plastics, the company will retain the freehold of the Haydock site, with One51 ES Plastics paying £300,000 rent per annum.
Interpack, meanwhile, is a supplier of food packaging, largely distributing to independent food manufacturers and packagers.
Upon completion of the deal, Coral Products CEO Michael Wood will resign from the company’s board to join One51 ES Plastics. Coral Products’ current Non-Executive Chairman Joe Grimmond will become the company’s Executive Chairman.
In a statement, Coral Products said that the disposal presented an opportunity to "crystallise an attractive return on invested capital with respect to the sale companies, reduce net debt and also to provide additional financial flexibility to further develop and support the recent progress of the continuing group".
In its most recent financial report, for the year ended April 30 2019, Coral Products (Mouldings) reported a loss of £488,760 on revenue of £11.1 million, up from a loss of £1 million on revenue of £9.7 million a year earlier. At the time, its fixed assets were valued at £5.6 million and current assets at £4.2 million.
In Interpack’s most recent financial statements, covering the same period, the company reported profit for the year of £787,206 on revenue of £7.4 million, up from profit of £556,152 on revenue of £6.7 million a year earlier. The company’s net assets were valued at £1.7 million.
Find businesses for sale here.
If you are looking for an exit, we can help!
An opportunity has arisen to acquire a metal fabrication and installation company based in the East of England. The company benefits from a wealth of experience and has built a solid reputation throughout its 14-year trading history.
An opportunity has arisen to purchase a large-scale manufacturer of bespoke timber doors, fire doors and windows. With an impressive trading record this company caters to a large and diverse UK client base including local authorities, contractors, ma...
Opportunity to purchase a leading UK manufacturer of pressure relief equipment. The company’s commitment to standards of product quality and service has ensured a loyal international customer base across the UK, Europe and USA. Benefitting from 20 ye...
25
|
Apr
|
Scaffolding company Hi-Point Access raises funds following Gap acquisition | BUSINESS SALE
Sheffield scaffolding company Hi-Point Access has secured &p...
24
|
Apr
|
Malaysia's IJM buys a stake in London construction firm JRL | BUSINESS NEWS
IJM Corporation Berhad has bought a 50% stake in Borehamwood...
24
|
Apr
|
Training group Babington bought by PE-backed Knovia | BUSINESS SALE
Apprenticeship and training provider Babington has been acqu...
Business Sale Report is the complete resource for finding genuine acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.