The Munich-based investment company PARAGON PARTNERS acquires a majority stake in DUO PLAST AG (www.duoplast.ag), a leading German manufacturer of high-performance stretch films. DUO PLAST films are used for load securing in the freight industry, agriculture and food packaging. The current management team invests together with PARAGON PARTNERS in DUO PLAST, thus expanding the owner-managed culture.
Erich Steiner (CEO DUO PLAST): “We are looking forward to the cooperation with PARAGON PARTNERS and are convinced that together we can continue the success story of the past and foster the strong positioning of DUO PLAST. Together with PARAGON PARTNERS, we will further expand capacities at all locations for our customers and intensify investments in research”.
Dr. Edin Hadzic (Co-founder and Managing Director PARAGON PARTNERS) commented: “We are delighted with DUO PLAST’s long-standing technological leadership, innovative strength and stable customer base. We look forward to further developing DUO PLAST together and to supporting the next growth phase with fresh equity”.
Christian Futterlieb (Managing Director VR Equitypartner) and Gunter Max (Managing Director Süd BG): “Today DUO PLAST is regarded as an innovation leader with an outstanding market position. On this basis, we wish DUO PLAST every success in continuing its growth in the new era and thank the management and employees for their contributions over the past years”.
About DUO PLAST
DUO PLAST was founded in 1983 as a trading company and over the years has developed into the leading manufacturer of high-performance stretch films. With more than 150 employees at two locations in Hesse and Thuringia, the company generates sales of almost €60m.
In 2013, VR Equitypartner and Süd BG supported the succession. After the founder retired, the management of the company was handed over to Erich Steiner (CEO) and Detlef Kaase (COO), both with many years of experience in the flexible packaging industry. Under the ownership of PARAGON PARTNERS, Mr. Steiner and Mr. Kaase as well as the entire management team will continue to steer the fortunes of DUO PLAST.
DUO PLAST’s market-leading positioning is based on the “Three-Pillar-Concept”: DUO PLAST customers receive first-class technical advice from the strong sales force as well as from the in-house DUO LAB, the right hardware for processing the film, and a film with superior strength and elasticity. All three combined enable DUO PLAST’s customers to reduce their film consumption by an average of 30% – which is good for the environment and the budget. In addition, DUO PLAST is a pioneer in the introduction of environmentally friendly packaging alternatives. Products in the DUO Earth line are based on up to 80% renewable or recycled raw materials.
DUO PLAST serves over 1,600 customers in the beverages & food, agricultural, non-food consumer goods, chemical and pharmaceutical industries – mainly from Germany, Austria, France and BeNeLux. Many of the customers have long-standing business relationships with DUO PLAST and are consistently expanding them. Not least, the high material efficiency and solution-oriented customer service are central decision criteria for films from DUO PLAST.
About PARAGON PARTNERS
PARAGON PARTNERS, founded in 2004, is a leading private equity group in the German speaking countries with more than €1.2bn of equity capital under management. PARAGON PARTNERS works with portfolio companies to achieve sustainable growth, operational excellence and market leadership. PARAGON PARTNERS seeks to unlock value in fundamentally attractive businesses, leveraging its ability to address transactional and operational complexity and transform companies through tailored value creation programs. The firm is based in Munich, Germany. Further information is available at www.paragon.de.