A.P. Møller Holding has announced the signing of an agreement to acquire sustainable packaging firm Faerch Group.
A.P. Møller Holding, which owns theA.P. Møller – Maersk shipping business among other interests, is funding the acquisition with funds managed by Advent International.
“Faerch is recognised as a leader within circular food packaging solutions," commented Jan Nielsen, chief investment officer,A.P. Møller Holding.
"It has a great team, a strong customer offering and distinctive operational capabilities. A.P. Møller Holding will support an acceleration of Faerch’s leadership position and increase investments in additional recycling facilities to meet the high customer demand.”
Circular Packaging
In a statement, A.P. Møller Holding said that Faerch has 'pioneered and is the market leader' when it comes to circular packaging solutions, with products made from up to 100% post-consumer recycled content.
The transaction values the business at around €1.9 billion.
“Today, a lot of plastics and other forms of waste end up in nature, landfills and incinerators, with far-reaching environmental implications," commented Robert M. Uggla, CEO, A.P. Møller Holding. "We would like to contribute to the critical societal development of a circular system of waste, with the same material being used and re-used in an endless number of manufacturing cycles.
"Faerch has demonstrated that it offers a compelling, sustainable solution, by developing food packaging products with a high degree of post-consumer recycled content.”
The acquisition is subject to approval by the relevant competition authorities, as well as the completion of Faerch's recently-announced acquisition of the Sirap food packaging business in Italy, Poland and Spain.
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.
