International distribution and outsourcing giant Bunzl has completed three further purchases in South America and the US, bringing its 2012 total acquisition spend to 270m pounds, the company reported on Thursday morning
Collectively, the assets acquired last year are expected to add aggregate revenues of over £500m annually.
The FTSE 100 group has acquired Chilean personal protection equipment business Vicsa Safety as well as its subsidiaries based in Peru, Argentina, Colombia and Mexico. These businesses are estimated to have made sales worth $60m in 2012.
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Bunzl's Chief Executive Michael Roney said: "The acquisition of the Vicsa group of companies is an exciting development for us as it represents our first acquisition in South America outside of Brazil and provides Bunzl with a first entry into five high growth safety markets.The business has a quality own brand range of products which will expand and strengthen the company's product offering in this market sector."
US firm Schwarz Paper Company has also been acquired by Bunzl, adding operations in the provision of consumables and supply chain solutions for the non-food retail and grocery sectors. Revenues for this Chicago-based company totalled $363m in its last financial year.
Bunzl has also bought Destiny Packaging, a California-headquartered distributor of flexible packaging supplies such produce bags for fruit and vegetable growers. 2012 revenue for this business is expected to be around $50m.
Roney commented: "The purchase of Schwarz Paper Company and Destiny Packaging are also important acquisitions for Bunzl.Schwarz Paper Company significantly increases the size of our non-food retail business and will further enhance the company's market leading position in the grocery sector.Destiny Packaging complements both Cool-Pak and Netpak which we acquired in 2010 and 2011 respectively.
"Together these three businesses give us an increasing presence in the market of innovative packaging solutions for both growers and food retailers in North America."
Bunzl expands in BrazilIn a separate statement, the firm said that it is expanding in Brazil after entering into an agreement to buy Vicsa Brasil Equipamentos de Proteo Individual Ltda.
Roney said: "Vicsa is our fifth acquisition in Brazil and will complement and expand our position in the personal protection equipment market, which we first entered through the purchase of Prot Cap in 2008, and provide an extended range of own label brand products to both new and existing customers."
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