DS Smith has entered an agreement to acquire Serbian fast-moving consumer goods packaging company Bosis doo in an effort to support its growth drive in Eastern Europe and continue its pursuit of sustainable packaging solutions.
Bosis doo is situated around 100km south of Belgrade, Serbia, and 140 employees currently work on a single site in Valjevo. DS Smith hopes that the acquisition – which will be structured as a share transaction and, subject to customary closing conditions, is expected to complete in the second half of its financial year – will complement higher growth and margin opportunities via its sustainability performance packaging customer proposition.
Once the acquisition is complete, DS Smith’s Eastern European packaging operations will comprise 29 box plants and additional facilities and is set to employ over 7,000 people in the region. The company claims that it has already replaced over 762 million units of plastic since March 2020 and intends to work alongside its customers, and now those in the East Region, to guide them towards their sustainability goals.
“We are seeing significant growth in demand for sustainable packaging and for plastic replacement in East Europe, especially in Serbia, and are delighted to announce our agreement to acquire Bosis doo,” says DS Smith group chief executive Miles Roberts. “We look forward to warmly welcoming our new colleagues.
“This acquisition will develop our ability to support customers, enhancing our capabilities in the region and accelerating growth by offering world-class, sustainable and innovative products to many more customers.”
Regional managing director East Europe Reinier Schlatmann continued: “This new investment will support our medium and long-term strategy and growth ambitions across the DS Smith East Region. It will expand our footprint and portfolio with advanced technology and capabilities that allow us to support our customers better in achieving their ambitious environmental goals and offering new plastic replacement innovations.”
Bogoljub Pantelić, founder and owner of Bosis doo, stated: “Following 41 years of successful, responsible and sustainable business, during which Bosis doo grew from a small family-owned screen printing shop into one of the regionally recognised players in the production of offset cardboard packaging and blister packaging, the time came for a new phase in the development of Bosis doo.
“We are sure that this is the right decision for our family and Bosis doo, our employees and their families, as well as our long term business partners and local community, and that we are also leaving them in the safe hands of DS Smith, a leading sustainable packaging provider. Our shared philosophy and values will ensure the future and sustainable growth of Bosis doo.”
Also in Eastern Europe, Saica Group acquired 76% of Fox Recykling’s shares late last year. The move sought to expand its waste management services in the region via its Saica Natur business division.
Stora Enso has also acquired De Jong Packaging Group with its sights set on a combined corrugated packaging capacity of 2,000 million m2.
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