Clondalkin Group has acquired Leeuwhoek Holdings, a Dutch packaging company, for up to €19.7 million (£15.52 million) cash. The acquisition would lead to an immediate enhancement of earnings, said Clondalkin. Asked to quantify the increase, finance director, Mr Colman O'Neill said it would add between 4 and 5 per cent to earnings this year. Chief executive, Mr Norbert McDermott said the Dutch company converted 25,000 tonnes of polymer a year and this would rise to 30,000 as part of the enlarged group.

Leeuwhoek, which employs 178 people, is mainly engaged in the manufacture of flexible plastic packaging through its principal subsidiaries, Verpakkingsindus trie Velsen and Flexoplast. They operate from modern freehold premises, located in the north of the Netherlands. The companies sell to a range of customers, mainly in the Netherlands and northern Europe. The initial consideration is €13.3 million (£10.47 million), based on the audited results for 1998. A deferred payment up to a maximum of €6.4 million (£5.04 million) may become payable in 2000 depending on the performance of the two operating subsidiaries. Leeuwhoek generated a pre-tax profit of €1.8 million (£1.4 million) on sales of €42.5 million (£33.47 million) in 1997, according to the latest available figures. Net assets amounted to €5.6 million (£4.4 million).