MERCURY Packaging and CPS Flexible Ltd have agreed a merger to form a flexible packaging firm with a combined turnover of around £16 million.
The new business, which has forecasted growth of 25% over a three-year period, will operate under holding company, Quicksilver, but retain the Mercury Packaging and CPS Flexible brand names.
Primarily targeting the food, publishing, retail and security markets, it will run from the existing production facilities located in Nottingham and Leicester.
Tony Stanger, new group chairman said, “This transaction brings together two highly complementary and long-established organisations to create a new, more powerful flexible packaging company designed to further enhance our expertise and capabilities.
“The individual businesses have been very successful and achieved sustainable levels of profit but capacity was starting to become an issue and a potential obstacle to future growth. It became evident very quickly that there were several areas for synergy between the companies.
“Despite both operating within the food and publishing markets, there are very few common customers and significant areas where Mercury Packaging could benefit from CPS Flexible’s extrusion capabilities. Likewise, the former’s lamination equipment will be an advantage for CPS Flexible.”
Mercury Packaging’s chairman, Tony Stanger, will take on the role for the Group, and CPS Flexible’s current production director, Simon Rose, will become group MD. Other key roles include Ray Franks as sales director, David Mallison as finance director and John Fisher as production manager.
