Dec 2009 – GCP’s flexible, patient capital enables Wrap Film Systems to raise funds to acquire Baco
GCP’s flexible, patient capital enables Wrap Film Systems to raise funds to acquire Baco
Wrap Film Systems Ltd (WFS), one of the largest cling film and aluminium foil converters in Europe, backed by Growth Capital Partners in 2007 in a £21 million buyout, has acquired the business of competitor Baco Consumer Products (Baco) from US based Reynolds Consumer Products Inc in an off-market deal. The price was undisclosed.
Adrian Brown, managing director of WFS said:
“A household name, Baco Foil is viewed by consumers as a premium quality product. This acquisition gives WFS access to the only recognised retail brand. We have a number of products which will develop the Baco name and reputation, providing us with a significant growth opportunity.”
Baco’s range includes manufactured food wrapping foil products and bought-in related items such as food bags, bin bags and plastic containers. It is also the only supplier of non-stick and recycled foil, for which there is no private label substitute.
Simon Jobson of Growth Capital Partners, who is on the board of WFS said:
“Since our investment in WFS in October 2007, the management team, led by Adrian Brown, has delivered on plan by growing turnover by £10m to £36.5m. This has been achieved through growth in the European export market and UK retail market through its unique ‘Benedetti’ and ‘Wrapmaster’ branded dispensing systems.
“Our approach of providing flexible, patient capital with a modest level of gearing has allowed WFS to raise the necessary funds to acquire Baco.”
WFS has a number of blue chip customers including Bunzl, 3663 and Brakes. The Benedetti Dispenser is now being stocked in Tesco, Sainsbury’s, Asda, Morrisons and Waitrose.
Today, the majority of Baco’s sales are to key UK supermarkets. Founded in 1960, Baco was bought by Rank as part of their $2.7 billion acquisition of US business Reynolds Consumer Packaging in 2007.