The deal includes the company in Hohenems and a warehouse in Albersdorf, near Graz, which will complement Bunzl’s existing operations in Switzerland and provide a platform from which to develop further in Austria.
'Continued growth in ‘away from home’ consumption'
Revenue for Meier Verpackungen in the year ended 30 April 2015 was €39.0m. The deal is expected to be completed next month.
Michael Roney, CEO, Bunzl, said the purchase of Meier represents its second entry into a new country this year, following on from the acquisition of Istanbul Ticaret in Turkey in May.
Nicholas Mockett, head of Packaging M&A, Moorgate Capital, told FoodProductionDaily.com Bunzl is a global leader in supplying packaging and consumables, particularly in the retail and catering trades.
“There are merits in being able to serve multinational as well as local or regional customers and also the economies of scale which sheer size brings,” he said.
“Bunzl should be able to enjoy purchasing synergies and buying power, which it may be able to pass on to customers to increase market share.
“The company should benefit from the continued growth in ‘away from home’ consumption, with most western economies still lagging the US and obvious growth potential in emerging markets.”
Steiner Industries personal protection equipment
In other news, Bunzl has completed a further acquisition in the US, Steiner Industries, and two more in Australia; Cater Plus and Delta Hospitality.
Steiner Industries is a personal protection equipment distribution business based in Chicago which sells safety gloves and workwear to distributors in the US who supply the welding and industrial sectors.
Steiner is Bunzl’s third acquisition in the safety sector in the US since the end of last year having earlier acquired Tillman and Cordova.
The majority of products sold are own label. Revenue in the year ended 30 November 2014 was $17.9m.
Cater Plus, trading as Bidvest Hospitality Supplies, is based in Adelaide and Delta Hospitality, is based in Brisbane.
Both businesses supply catering consumables and equipment to a variety of end user customers including restaurants, bars, contract caterers, hotels and hospitals.
In the year ended 30 June 2015 the revenue of Bidvest Hospitality Supplies and of Delta Hospitality Supplies was A$9.8m and A$10.8m respectively.