The strategic acquisition of the cartonboard manufacturer is part of Coveris' long-term plan for growth in new and existing markets, with a focus on the growing convenience and food-to-go sectors.
UK and Hong Kong
St. Neots' employs more than 200 staff, and has offices in Cambridgeshire and Hong Kong.
The business will now be integrated alongside Coveris' existing cartonboard operation in Wisbech, Cambridgeshire.
Sian Bates, marketing manager, Coveris UK Food and Consumer division, told FoodProductionDaily, the cartonboard sector continues to be a major growth area in the UK and the firm was a ‘great fit’ for Coveris.
She said the acquisition will enable both companies to grow its UK cartonboard and lined board operations with the addition of ‘a new product range as part of the deal’.
Bates confirmed the firm will complement its existing rigid plastics division across the UK and Europe and did not rule out further acquisitions to support future business growth.
St. Neots supplies film-lined sandwich packaging, bespoke cartons and other consumer products to the UK's major retail and foodservice customers.
KBA Rapida 145 large format press
The company recently announced it had increased capacity following its investment in UK's first KBA Rapida 145 large format press to deliver 40% more cartonboard capacity.
Andy Ducker, chairman, St. Neots, said the acquisition provided an exciting opportunity for the company.
"The backing of the Coveris group marks a major development for St. Neots and enables the business to accelerate growth to its next phase,” he said.
With Coveris' experience, shared values of service and knowledge of our products, the acquisition provides a very exciting opportunity for our staff and customers to grow."
The acquisition places Coveris' UK Food and Consumer sales in excess of £400m with over 2,000 staff and 16 UK sites.
The announcement follows news about its integration of KubeTech Custom Molding, a North American manufacturer of rigid packaging to bolster the company's rigid packaging offering to customers in North America.