All 450 John Dickinson staff will transfer with the sale of the business.

John Dickinson produces envelopes, books and stationery, with Basildon Bond its best-known brand.

Groupe Hamelin is a European office supplies producer with headquarters in France. It has a turnover of 393m (570m).

DS Smith considered John Dickinson as a non-core business and had been looking to dispose of it for some time.

"The sale to Groupe Hamelin makes a very good fit," said DS Smith group finance director Gavin Morris.

DS Smith will focus on paper and corrugated packaging, plastic packaging and office products wholesaling.

Morris declined to reveal how much the business had been sold for, but said any cash received would initially be used to pay down debt. He added that the group would keep an eye open for acquisitions.

John Dickinson Stationery had net assets of 12.2m at 30 April 2005, and three sites in the UK in Sawston, Cambridgeshire; Washington, Tyne and Wear and Ledbury in Herefordshire.

Story by Andy Scott