Introduction
Mpact Ltd (“Mpact”) appointed Novitas Capital Advisors (“Novitas”), on an exclusive basis, to undertake a global search to find the best strategic acquirer for Versapak, a division of Mpact comprising the production of styrene and PET trays and punnets, as well as vinyl cling film. Versapak operates from two plants in Paarl, Western Cape, and Roodekop, Gauteng.
Following a strategic review in 2021, Mpact determined that Versapak’s products were not aligned with its strategy and a decision was then taken to sell the business.
After a rigorous and competitive market engagement process, Sinica Manufacturing emerged as the winning bidder. Sinica possesses a complementary product offering, limited customer overlap and is committed to preserving jobs and investing to improve Versapak’s operations.
According to Mpact’s Group Corporate Finance Manager, Kulani Ngobeni, “We have extensive in-house experience in mergers and acquisitions, but Brad Conarroe and the team at Novitas brought exceptional value to the process. Their strategic approach and ability to maintain competitive tension throughout the bidding and negotiation stages were key in achieving the outcome we desired. Their professionalism and expertise exceeded expectations, and I wholeheartedly recommend their services.”
“We enjoyed working with Kulani, Bruce Strong, Hannes Snyman, Gina Robinson and the team at Mpact. This was a great outcome for Mpact, its shareholders as well as Wessel Oelofse and the team at Versapak.” said Novitas co-founder, Brad Conarroe.
The transaction closed on Monday, November 4th 2024.
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