France-headquartered Arjobex, which manufactures high-end sustainable synthetic paper for the printing, tag and label markets under the brand name Polyart, was previously owned by Arjowiggins Group, which was then part of Sequana.

Arjobex, including its UK base in Clacton-on-Sea, Essex, was bought in 2019 – while Sequana was in liquidation – by French private equity firm Prudentia Capital, which has now also supported Arjobex’s acquisition of 100% of MDV Group’s shares.

The Krishna and Reichert families, the previous owners of the MDV Group, were looking for a new investor to ensure the future of their company, which employs 130 staff and has a turnover of around €30m (£26.6m).

The business manufactures specialty papers and films for the print, packaging, medical, sign and display, and building industries. It produces fluorescent papers under the brand Fluolux while its films and synthetic paper brands include Robuskin and Satinex.

With two coating facilities in Germany, in Karlstein and Penig, and a High Density Poly Ethylene (HDPE) blown film manufacturing facility in Liverpool, Arjobex said the deal “will greatly expand” its footprint in Europe.

Arjobex chief executive Arnaud Roussel said: “MDV perfectly fits the Arjobex core business of producing sustainable specialty substrates for niche and growing markets and will benefit from our strong international sales and marketing network in the US and Asia.”

Stéphane Daveau, deputy chief executive of the new group, added: “MDV is bringing its extended know-how in specialty coatings with over one thousand coating formulations and new coating capabilities that perfectly fit the Arjobex strategy of differentiation through specialty coatings for the graphic and label markets.”

Meanwhile, Ashok Krishna, main shareholder of MDV, described Arjobex as “the ideal investor to make MDV Group even more successful and international”.

Following the acquisition, the enlarged group will have consolidated revenues of around €65m and will employ 280 staff across six manufacturing sites in Europe and the US.