British packaging manufacturer RPC bids to buy Icelandic rival Promens for 386 million euros

British Packaging manufacturer RPC has made an offer to buy Icelandic rival packaging firm, Promens, for 386 million euros.

According to RPC, the combination of the two businesses would create a significantly enhanced European presence in rigid plastic packaging, extending the company’s reach and capabilities across several key markets.

RPC specialises in rigid plastic packaging, supplying to the food and non-food consumer, industrial and vehicles markets. It supplies to cosmetics firms such as M&H Group and RPC beauté.

Earlier this year, RPC acquired British plastic packaging manufacturer Maynard & Harris Group Limited (M&H Plastics) in a 124.5 million euros deal.

RPC operates 55 plants located in 20 countries and 4 continents and employs approximately 7,500 staffs.

Promens employs approximately 3,800 people at its 40 facilities, five of which are based outside of Europe. RPC expects the integration of Promens to cost €35m.

The combined RPC-Promens could have annualised revenues approaching 2 billion euros across 95 plants and 11,200 employees.

RPC chief executive Pim Vervaat commented: “Today’s announcement marks a key strategic milestone for RPC in line with our Vision 2020. The combination of RPC and Promens provides a unique opportunity to create an enhanced platform of scale across our core European end markets. The enlarged group will benefit from opportunities to extend its product and technology offering across the full breadth of its combined operations as well as to achieve cost efficiencies.

“RPC and Promens are a natural fit and we look forward to developing our enlarged platform to deliver superior value for our customers and shareholders in the future,” Vervaat added.