Excelsior make packaging for food groups in the UK and US

Food packaging producer Excelsior Technologies has been snapped up for £33m by global firm Mondi Group.

The Cheshire business makes packaging for a range of food products for the likes of Kelloggs, Birds Eye and Typhoo from two plants in Deeside and Lancashire, with unique technology for microwave steam cooking.

Its product portfolio also includes pouches, roll stock and lidding films and the business employs more than 200 staff.

Excelsior generated revenues of almost £40m in 2016, compared with £34.5m in the previous year.

Mondi said the acquisition of the vertically integrated producer supported its strategy to grow its consumer packaging business.

The deal provides an exit for private equity firm Endless and its SME Enact fund, which recently sold West Cornwall Pasty Co to Samworth Brothers.

Excelsior made heavy losses of more than £10m in 2013, with the PE firm turning the business around since investing in December 2014.

Mondi Group CEO David Hathorn said: “The acquisition of Excelsior supports the development of our consumer packaging business in high growth product applications. Its leading microwave steam cooking packaging technology complements and enhances our global food packaging offering.”

Employing about 25,000 staff in more than 30 countries, Mondi has a turnover of almost €7bn (£6bn).