CartonCare Group, owner of MSO Cleland in Northern Ireland has formed a joint venture with Van Genechten Packaging in Belgium. It gives the independent group its first production sites in the UK. It already has sites in Germany, France, Hungary, Latvia and Russia as well as in Belgium. It has sales of €400 million from printed packaging.
The deal ends a search for CartonCare to find a partner wanting production facilities in the UK to overcome the challenges of importing from the EU into the UK.
When MSO Cleland installed a six-colour plus double-coater Speedmaster XL106 along with Bobst Visioncut 106 platen, Masterfold folder gluer and Gietz tray maker in 2020, group chairman Ralph Chalmers laid out the vision. “There are a large number of European carton companies that enjoy a significant volume of business in the UK and could benefit from having a production capability here. Our discussions have so far shown significant traction for future business and we believe that production capability of our new printing and converting technology puts us in a very good position.”
It has proved an accurate prediction. CartonCare managing director Joanne Calixto says: “We are thrilled to be working with Van Genechten Packaging, a company which, in spite of its large size, retains a lot of the values which are important to us. Its decades of experience, expertise and commitment are undeniable. In this joint venture, I look forward to being able to offer even more to customers and potential customers, driving innovation and creativity in the most sustainable way possible.”
The factory also houses six- and eight-colour KBA Rapidas B1 presses and Bobst finishing equipment.
The 50/50 JV covers MSO Cleland in Belfast, pharmaceutical specialist CartonCare in Newry and Pendragon Packaging, a specialist in presentation packaging in Malvern. CartonCare generates a turnover of €30 million from fibre based packaging and “a strong focus on quality and a shared passion for excellent, customer oriented service to meet the needs of the FMCG industry” says Van Genechten.
Its CEO Frank Ohle says fills a gap, confirming CartonCare’s analysis: “Apart from the fact that we share the same DNA, both our companies are at home in several of the same market segments. As CartonCare Group’s connections within the UK market cover some gaps within the Van Genechten Packaging footprint, this strategic step opens up additional opportunities to expand our design and production capabilities and our European presence, thereby creating even greater value for our customers. We look forward to a successful collaboration.”
