NEWS: Navigator makes public offer to acquire Accrol

As reported by Euwid Paper, Navigator Paper UK Limited launched a cash offer to acquire Accrol Group Holdings plc, aiming to bolster its position in the UK tissue market with anticipated synergies and increased market presence

Accrol is a leading tissue converter and supplier of toilet tissues, kitchen rolls, facial tissues, and wet wipes to many of the UK’s leading discounters and grocery retailers across the UK. The Board of Directors of Accrol is recommending the offer, Navigator reported.

For the half-year ending 31 October 2023, Accrol had sales revenues of £100.3m and adjusted Ebitda of £10.2m. The company’s board forecast annual sales revenues of £205m and adjusted Ebitda of at least £21m for the current financial year.

Navigator sees Accrol as a key pillar in its strategy of sustained expansion of its tissue business in the Western European market. It will focus on building on Accrol’s market position in the UK tissue private label market and supporting its growth across all its core product segments. Synergies are expected from increases in efficiency and productivity. Navigator anticipates the acquisition to result in a consolidated turnover of approximately £500m, with the UK market expected to contribute around 50 per cent of Navigator’s total tissue sales revenues.

Navigator Paper UK Limited is a wholly owned indirect subsidiary of The Navigator Company, a large Portuguese integrated pulp, paper, tissue, packaging and biomass-based energy company with consolidated sales of nearly €2bn and consolidated Ebitda of €502m