ITC Packaging acquires Coveris Holdings Spanish business

3 August 2014 (Last Updated August 3rd, 2014 18:30)

ITC Packaging has recently acquired the Spanish business of international packaging group Coveris Holdings, Coveris Rigid Spain.

ITC Packaging has recently acquired the Spanish business of international packaging group Coveris Holdings, Coveris Rigid Spain.

This purchase will double the existing production capacity at ITC's south-eastern centre and will allow the firm to serve customers across the northern part of Spain.

Coveris' 4,900m² injection moulding facility in Sopelana will enable ITC to boost its sales to France, Italy, the Benelux countries and the UK. ITC plans to invest in the Sopelana facility in order to optimise resources and expand production. The company aims to boost its range of clients, especially with prominent dairy producers in Spain and France; over the next two years, it intends to increase the workforce as well as achieve its annual sales target of €50m.

ITC has over two decades of experience in rigid packaging and thin wall container moulding. Headquartered at Ibi in the province of Alicante, the company employs around 150 people and has annual sales worth €33m. The company has manufactured 400 million containers in polypropylene, polystyrene and PET this year. Around 80% of its business comes from food packaging, with the rest from containers for products such as paints. ITC Packaging already operates injection moulding machines ranging from 200t to 700t.

Coveris Rigid Spain operates a facility near Bilbao and employs 48 employees. It has an annual turnover of approximately €8.5m. Following the sale, Coveris aims to focus on the development and expansion of its rigid packaging division in Europe.