US giant set to buy Steripack’s medical business for €70m
Business that packaging company Bemis is purchasing had sales of €57 million last year
The deal’s biggest beneficiary is likely to be Steripack founder and chief executive, Garry Moore, who owned 54 per cent of the group according to the company’s most recent accounts. Photograph: Alan Betson
US packaging giant Bemis is poised to buy Irish group Steripack’s medical business in a deal calculated to be worth close to €70 million.
Bemis said on Wednesday it has agreed to buy Steripack’s medical and pharmaceutical business. It is not buying its contract manufacturing division, which the Irish group will continue to own and operate independently.
The businesses that Bemis is buying had sales of $65 million (€57 million) last year. While neither side revealed the deal’s details, based on sales and likely cash flow, industry sources estimate that it could be worth between €65 million and €70 million.
Biggest beneficiaryGarry MooreBarry MooreUlster
State agency Enterprise Ireland held €1 million worth of preference shares which carried interest of 8 per cent and 9 per cent, but redeemed these between 2012 and 2014.
Mr Moore founded Steripack, which employs about 200 people, in 1994. On Wednesday, he predicted Bemis would continue to build upon the operations established over the last 21 years. “We look forward to focusing on our contract manufacturing business across the globe,” he said.
Neenah, Wisconsin-based Bemis had $4.5 billion sales last year. It employs more than 17,000 people and supplies packaging to food, healthcare and consumer products manufacturers around the world.