VPK Group has increased its shareholding in CorrBoard UK to become a 50% shareholder, through a subscription for new shares and the acquisition of the stake of former shareholder, Garthwest. McLaren Packaging, one of CorrBoard’s founding partners, has also subscribed for new shares.
Pierre Machris, CEO of VPK Group, said: “CorrBoard’s factory is impressive and with this new investment, strong management, know-how and skills, CorrBoard will continue to operate as an independent unit with a dedicated strategy.
“This will help deliver high service levels and a competitive product offering to the market. VPK has a long history of successful joint ventures across Europe and views CorrBoard as a great way of continuing that in the UK sheet board market.”
CorrBoard will shortly be installing a new £1.5m automated palletisation system at its 320,000 sq ft facility in North Lincolnshire, as well as significant IT control system upgrades. The new shareholder structure aims to bring added financial security to the company as well as an investment strategy going forward.
Also adjacent to the CorrBoard’s site is CorrBoard Bioenergy, a joint venture between two of the consortium members, Swanline and McLaren, which provides energy to CorrBoard, thereby facilitating the manufacture of carbon neutral corrugated material.
Donald McLaren, Managing Director of McLaren Packaging said, “CorrBoard’s operational success will be further enhanced with VPK’s increased involvement. By working closely with VPK, CorrBoard’s UK partners are excited about the bold plans for the future.”
The CorrBoard consortium consists of VPK Group, Dairi-Pak, Fencor Packaging Group, GWP Group, McLaren Packaging and Swanline Print.