MACFARLANE Group has completed the acquisition of A.E. Sutton Limited, trading as Suttons Performance Packaging, a specialist protective packaging manufacturing business based in Cambridgeshire.
Founded in 1962, Suttons supplies protective packaging to customers in the medical, electronics and industrial sectors. The firm has 55 employees, including two directors who will both remain with the group following the acquisition.
Macfarlane Group UK has acquired 100% of Suttons for a maximum cash consideration of £9 million, including an earn-out of up to £2.5 million based on agreed profit growth targets over two years.
For the year ended 31 March 2022, Suttons generated sales of £7.4 million and pre-tax profits of £900,000.
Peter Atkinson, chief executive of Macfarlane, said, “Suttons is a profitable, well invested company with an experienced management team that is fully committed to the business going forward. The acquisition is being funded using our existing bank facility and will be earnings enhancing.
“We look forward to working with the team at Suttons to support its continued growth and develop opportunities for us to work together to provide all our customers with a broader portfolio of protective packaging solutions.”
