Denmaur Independent Papers (“Denmaur” or the “Group”) has acquired the business and assets of the Fine Paper and Conversion division from Walsall-based Middleton Paper Company Ltd (“Middleton”).
This represents Denmaur’s first acquisition since securing a £30 million facility from Leumi ABL earlier this year.
Denmaur has been one of the most established names in the UK print and publishing sector for almost 40 years. Founded in 1983, the Group has become one of the UK’s leading, independently owned paper merchants and print management providers, offering comprehensive ranges of traditional and sustainable products. The Group recently announced a landmark 100,000 tonnes of Carbon Balanced Paper sales.
With Denmaur’s warehouse in Bardon, the combined storage capacity following the acquisition will cover 235,000 square feet. The combined turnover of both companies is in excess of £140 million with an employee head count of almost 130.
Denmaur’s Chairman, Harry E Gould Jr, commented: “We are acquiring an on-going and profitable operation in Middleton, and although a slightly different business model, the combined strengths and differences of the two companies will generate added value and a unique opportunity for the UK paper and board market going forward.”
Matthew Groom, Group FD, said: “We are very pleased with the outcome of the Middleton acquisition and the value it will add to our Group’s offering going forward. It was great to be working with the deal team we had engaged for the Group re-finance last year, led by Stuart Stepney of Castle Corporate Finance. Expert legal advice on corporate, property and employment matters was provided by Outset Law LLP. Our bankers, Leumi ABL, were also hugely supportive of this deal and it was very refreshing to see how quickly and pragmatically they could process key information and enable the transaction to complete as planned.”
Stuart Stepney from Castle Corporate Finance said: “It was a great pleasure to assist Denmaur once again and bring life to their ambitious growth plans through the acquisition of Middleton, a strategically important deal that should contribute significantly to the diversity and scale of the enlarged Group. There was a real willingness on both sides to ensure the Middleton business was transferred to a good home and continues to prosper under new ownership. Leumi ABL and Outset Law were great partners on the journey, ensuring the transaction could be completed in a smooth and orderly fashion. Our congratulations go to everyone concerned.”
Denmaur was advised by Castle Corporate Finance, led by Managing Director, Stuart Stepney with legal advice from Outset Law.
