Brambles has acquired Pallecon, a leading provider of Intermediate Bulk Container (IBC) solutions in Asia-Pacific and Europe in a deal valued at €135 million (US$177 million). The company is a division of CEVA Logistics.
Pallecon has been in business for more than 30 years, and worldwide, operates a pool of approximately 180,000 IBCs. Key markets for the company include Western Europe, Australia and New Zealand, where it offers IBCs principally for the transportation of liquids in the food, cosmetic and chemical industries.
In the 12 months ended 30 September 2012, Pallecon generated sales of €53 million.
“Pallecon has outstanding customer relationships, good growth prospects and a record of generating strong financial returns,” commented Tom Gorman, CEO of Brambles. “It will complement our plans to grow our IBC operations worldwide, in line with our strategy of expanding our pooling solutions operations into a broader range of service lines and customer segments.”
The existing management team has agreed to stay aboard under Brambles ownership. To see the original Brambles press release, including additional financial details of the transaction, click here.