VPK strengthens its market position in solid board with acquisition of SolidPack
Aalst, 19 January 2017 - VPK Packaging Group has reached an agreement to acquire 100% of the shares of SolidPack. With this move VPK will further expand its solid board segment - known under the brand name Smart Packaging Solutions. By bundling two complementary suppliers under one solid brand, the group aims to be to respond to the increased market requirements for solid board packaging.
Smart Packaging Solutions is the solid board division of VPK Packaging Group. As with all of the group's packaging options, solid board forms part of an integrated and circular production process, thanks to in-house paper recycling. Smart Packaging Solutions is housed at VPK's facilities in Oudegem. In 2008, the division expanded to a second location in Meer, near the Dutch border.
With 250 employees, Smart Packaging Solutions produces about 85,000 tons of packaging per year. This makes for a turnover of 70 million euros, which is mainly achieved in sectors such as vegetables, meat and chicken.
The acquisition of SolidPack adds 175 employees, 65,000 tons of packaging and more than 50 million euros in turnover. Core markets are in the meat, fish and flower industries. With this transaction, Smart Packaging Solutions takes a leading market position in Europe.
More expertise under one organisation
VPK's long-term vision ensures a sustainable investment policy is in place. Divisions within the group are guided with great autonomy and room for entrepreneurship. Centralised services such as finance and engineering support the operational functioning of the business units. With this durable growth strategy, VPK now intends to further develop the solid board packaging division.
The joined forces also make for strong complementarity. Johan De Neef, BU Manager at Smart Packaging Solutions: "We complement each other very well. Our customers are predominantly located close to home, Solidpack has a strong portfolio in overseas exports. This complementarity also applies to the sectors to which we deliver. We now wish to bundle this expertise and experience to be able to offer our customers even better service."
Specific markets, but with global distribution
Solid board is high quality cardboard with a very compact and flat structure, with a good resistance to humidity and excellent printability. Applications are mainly found within the agro-industry. The compact nature lends itself perfectly for overseas exports. Irish lamb, Dutch cucumbers and Belgian chicken are typical export products packed in solid cardboard.