The shares were acquired after what M&C described as a “very positive performance” for the German packaging materials manufacturer.
The decision for M&C to purchase the shares belonging to Treofan’s next-largest shareholders Goldman Sachs and Merced Capital was decided by M&C’s board of directors on Wednesday 11 October. The change in ownership structure was announced on 13 October. Treofan said the relevant contracts were yet to be signed, but this was expected to be completed in due course.
“Strategic options provided by M&C’s increased commitment include, for example, an enforcement of our specialties business through further research, innovation and process improvements,” Treofan CEO Dr Walter Bickel told GlobalMeatNews.
“We’re also looking at expanding our business geographically, for example in Asia and the Americas. The focus is on organic growth, yet acquisitions might be an option should suitable opportunities emerge.”
Treofan said in a statement that M&C, alongside shareholders Goldman Sachs and Merced Capital, had been analysing the options for the development of German firm Treofan, for several months.
Ultimately, the decision for M&C to acquire total control of Treofan was based on a two-year strong financial performance by the company, which reported normalised gross operating profit of €29.5m in the first eight months up to 2016. This was a year-on-year rise of 30% on the same period in 2015.
“We’re delighted about M&C’s increased commitment, which will open up additional strategic options for our company to continue growing profitably worldwide,” said Bickel in a statement. “At the same time, I would like to thank our previous shareholders Goldman Sachs and Merced Capital, without whose support we wouldn’t be where we are today.”
Treofan claims to be the global leader in biaxially oriented polypropylene films. It employs around 1,100 staff, operates four production sites in Germany, Italy and Mexico and sells its products to more than 90 markets.