With a long history of providing sustainable tabletop products in the UK, Duni Group merges with a leading provider of paper tableware solutions in the region, Poppies. The acquisition is subject to regulatory approval in the UK and customary closing conditions and is expected to be completed in the first half of 2025.
“We are pleased to welcome Poppies to our Group of attractive brands in dining and food packaging solutions for the restaurant market. The acquisition further strengthens our market-leading position in Europe and increases our distribution capacity to customers in the UK and Ireland”, says Robert Dackeskog, President and CEO of Duni Group.
The merger provides synergies within manufacturing, with increased premium tissues and airlaid production in Duni Group’s papermill Rexcell. In addition, the go-to-market models of the two companies will be complementary and combined with synergies increase the Group’s distribution capacity in the UK and Ireland.
Poppies manufactures a quality product range predominantly for the catering sector, produced under the well-recognized Poppies brand name, along with other bespoke labels such as McNulty Wray and Staples. Poppies production facility is based between Liverpool and Manchester on a 12-acre site and distributes products both nationally and internationally.
“We are excited to join forces with Duni Group. Together with Duni we will have a strong value chain that strengthens our focus on sustainable products while simultaneously expanding our tabletop offering to better serve our customers”, says Masoud Khadem, Director of Poppies.
Poppies has approximately 220 employees and annual net sales of approximately SEK 620 m, with profitability in line with Duni Group’s business area Dining Solutions. Duni Group will acquire 100 percent of the company on a cash and debt free basis for a fixed purchase price of approximately SEK 670 m, whereof 60 percent will be paid upon closing and the remaining amount will be paid in three instalments by the end of 2025 (20%), 2026 (10%) and 2027 (10%). Financing is covered within Duni Group’s existing loan facility.
Photo Duni
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