Bunzl Completes Three Further Acquisitions
Bunzl plc, the international distribution and outsourcing Group, today announces that it has completed three further acquisitions in South America and the US.
The Company has acquired Vicsa Safety SA in Chile and its subsidiaries based in Peru, Argentina, Colombia and Mexico. The businesses specialise in the sourcing and sale of a variety of personal protection equipment throughout the region. The aggregate revenue of the Vicsa businesses in the year ended 31 December 2011 was US$51 million and is expected to be approximately US$60 million in 2012. The business in Chile accounts for more than half of the total revenue.
Bunzl has also acquired Schwarz Paper Company, LLC in the US. Based in Chicago and operating from 14 locations, Schwarz Paper Company is principally engaged in the provision of consumables and supply chain solutions for the non-food retail and grocery sectors. Revenue of the acquired business in the year ended 30 September 2012 was US$363 million.
Finally, the Company has purchased Destiny Packaging, Inc, also in the US. Based in Monterey, California, Destiny Packaging is a leading distributor of flexible packaging supplies, principally produce bags, to fruit and vegetable growers throughout California and Arizona. Revenue in the year ended 31 December 2011 was US$45 million and is expected to be approximately US$50 million in 2012.
Commenting on the acquisitions, Michael Roney, Chief Executive of Bunzl, said:
"The acquisition of the Vicsa group of companies is an exciting development for us as it represents our first acquisition in South America outside of Brazil and provides Bunzl with a first entry into five high growth safety markets. The business has a quality own brand range of products which will expand and strengthen the Company's product offering in this market sector.
The purchase of Schwarz Paper Company and Destiny Packaging are also important acquisitions for Bunzl. Schwarz Paper Company significantly increases the size of our non-food retail business and will further enhance the Company's market leading position in the grocery sector. Destiny Packaging complements both Cool-Pak and Netpak which we acquired in 2010 and 2011 respectively. Together these three businesses give us an increasing presence in the market of innovative packaging solutions for both growers and food retailers in North America.
We are delighted to welcome all employees of each of the businesses to Bunzl.
Including the acquisitions announced today, the Company's total acquisition spend for 2012 is approximately £270 million adding aggregate annualised revenue of over £500 million."