Gottlieb deal boosts Macfarlane in NW England
Peter Atkinson: complementary deal
Macfarlane Group, the Glasgow-based packaging company, has acquired A & G Holdings, owner of Gottlieb Packaging Materials in north west England in a £3.55 million deal.
Gottlieb is a well-established supplier of protective packaging products to customers across a wide range of sectors, from its warehouse facilities in Manchester.
Its team of 15 employees, including two directors, will remain with the business following the acquisition.
The deal, via Macfarlane’s wholly-owned subsidiary, Macfarlane Group UK, is financed by the company’s £30m bank facility and includes an earn-out of up to £800,000 based on agreed profit growth targets over two years.
A further adjustment is due for net assets in excess of £300,000 with the expected net assets on completion being £1m, including £800,000 of net cash.
For the year ended 31 December 2022, Gottlieb generated sales of £4.5m, with EBITDA and pre-tax profits of £700,000.
Macfarlane chief executive Peter Atkinson said: “Gottlieb is a well-run, successful protective packaging distributor with an experienced management team.”
He said it complements the recent opening of Macfarlane’s distribution facility in Heywood and further strengthens the company’s ability to serve customers in the North-West of England.”