Four of the five operations were previously structured as stand-alone business units of core LINPAC divisions (LINPAC Allibert and LINPAC Packaging) and have been sold as going concerns under asset purchase agreements. The fifth, RFID specialist Intellident Limited – although previously managed within LINPAC Allibert – is a separate legal entity and the company itself was sold.
The consideration is not being disclosed, but together the five business units generated a little under 6% of LINPAC Group revenues, and employed a total of approximately 450 people, or 6% of the former LINPAC workforce. With the exception of Intellident they are now expected to change their names.
Relevant LINPAC personnel have transferred to Chamonix under TUPE regulations, with their employment rights protected, and on substantially the same terms and conditions.
John Darlington, Executive Chairman of LINPAC Group, said: “We have sold five non-core business units, and are using the funds to pay-down debt. Even operations that are non-core require management attention, however, and the disposals have therefore released senior management time for use elsewhere in the business. It also means that we will be able to concentrate investment on our core activities in future.”
In brief, the activities of the five Speciality business units are:
* LINPAC Storage Systems: manufacturing and marketing of adjustable pallet racking solutions and shelving systems.
* LINPAC Environmental (including Paxton Agricultural): manufacturing and marketing of plastic litter, recycling and street furniture products for the public and private sectors, as well as a range of agricultural products, including rain water harvesting.
* LINPAC Recycling: recycling of post-use rigid plastic into specified recycled compounds to supplant prime in a wide range of moulding applications and end-markets.
* Intellident Limited (including Ident SAS): systems integration of RFID technology and barcode solutions for libraries, the supply chain and document management
* LINPAC Metal Decorating: printing in full colour on tinplate and aluminium sheet.
LINPAC Group was advised by Ernst & Young LLP.