Plastchim-T has acquired an Italian foil manufacturer

The Bulgarian manufacturer of polypropylene foils and flexible packaging Plastchim-T acquired its Italian competitor Manucor. The expectation is that once the deal is finalized, the Bulgarian company will take a leading position in the biaxial oriented polypropylene (BOPP) sector in Europe with a capacity of 200,000 tons per year. Also, Plastchim-T will strengthen its positions in the markets of Europe, the Middle East and Africa with opportunities for further expansion.

The two companies in question are among the leaders in the production of BOPP foils. In recent years, the Bulgarian company has been working on the development of the so-called BOPE foil - biaxially oriented polyethylene, which is fully recyclable. In February 2022, the company also installed an innovative hybrid BOPE/BOPP line with an annual capacity of 27,000 tons.

According to the company, the new product will lead to significant changes in the world of packaging, whereas the expansion through Manucor's customer base

will lead to further awareness-raising on the importance of the circular economy”.

The deal is financed with Unicredit Bulbank and UBB loans. The legal advisor of the credit institutions is the law firm Boyanov & Co. in cooperation with the Italian law firm Gianni & Origoni.

Founded about half a century ago, the Bulgarian company has three production and logistics bases in Bulgaria - in Aksakovo and Devnya (for packaging foils) and in Tervel (for flexible packaging). The three production bases are located on a total area of ​​about 50 acres, employing about 1,000 people.

The company is among the largest producers of BOPP foil in Europe, with a capacity of 120,000 tons per year.

Manucor also produces BOPP foil, with an annual capacity of 80,000 tons. The Italian manufacturer has a base and logistics center in the small town of Sessa Aurunca in southern Italy with around 260 employees. It sells its products in around 50 countries.

Plastchim-T emphasizes that the deal will add production capacity, key know-how and expertise in the flexible packaging category, strengthen the logistics and distribution network in Europe and add a significant base of loyal customers.

This provides opportunities to increase the sales of our innovative and sustainable packaging products worldwide," says Beyan Faik, CEO of Plastchim-T.

A quick check in the Bulgarian Trade Registry shows that in 2022 "Plastchim-T" reported an increase in net revenue from sales by about 24% to the tune of 261 million euros. The company's net profit also grew in 2022, by about 130% to 30.5 million euros.

Translated by Tzvetozar Vincent Iolov