Fedrigoni acquires Ritrama
Friday, November 1, 2019
Paper manufacturer Fedrigoni has agreed to acquire fellow Italian group Ritrama, which specialises in self-adhesive products.
The deal, the second made by Fedrigoni since it was itself acquired by Bain Capital two years ago, reinforces the company’s position in the European pressure sensitive labels market, in which it operates through the Arconvert and Manter brands.
Ritrama produces labels for the pharmaceutical, beverage and personal care markets and is said to complement Fedrigoni’s portfolio through its graphics and industrial segments.
It operates six manufacturing facilities in Italy, Spain, the UK, Chile and China as well as 10 slitting and distribution centres in Latin America, Poland and South Africa, employing around 1,100 staff in total.
The group’s founders, the Rink family, will maintain ownership of and continue to manage Ritrama’s North American operations, while continuing its business partnership with the rest of the group.
Fedrigoni, meanwhile, employs around 3,000 staff in 16 locations in Italy, Spain, Brazil and the US, and sells and distributes in approximately 130 countries globally.
Fedrigoni said the deal offers its customers “a full range of solutions for self-adhesive labels, with an extremely diversified state-of-the-art offer, both from a technological and aesthetical point of view”.
“Strong synergies exist between the businesses of Arconvert and Ritrama,” said Fedrigoni Group chief executive Marco Nespolo.
“Both companies operate with excellent results on largely complementary markets, with Arconvert specialising in self-adhesive labels manufactured from specialty papers, and Ritrama focusing on the production of self-adhesive plastic films.
“Our Pressure Sensitive Labels segment, which is already showing very positive results, will now be larger, broader and more competitive in a market that continues expanding in all segments and geographies, on a global level.”
Ritrama president Tomas Rink added the transaction “ensures the Ritrama group and its organisation will continue to grow in a healthy and rapidly-expanding industrial reality”.
Ritrama’s revenue of approximately €400m (£344m) in the year ended 31 December 2018, coupled with Fedrigoni’s sales of approximately €1.2bn in the same period, amount to total revenues for the combined group of around €1.6bn.
The acquisition is expected to close in the first quarter of 2020 and is subject to certain closing conditions.
Separately, Fedrigoni has just launched the Arena series of white papers and boards for publishing and luxury packaging – the largest range that the business has introduced for some years.