Reusable Packaging News
RPN
RPN
world, which serves more than 300 retailers and over 13,500 producers in over 50 countries. The company has a logistics network with more than 75 service centers and owns and operates a global pool of over 280 million RPCs for a total of over 1.5 billion shipments of fresh fruits and vegetables, meat, poultry, seafood, eggs, bread, and other items from suppliers to grocery retailers every year.
Separation from Brambles
Brambles announced on August 24 that it intends to pursue a separation via a demerger or sale. The separation of IFCO will result in two standalone, world-class businesses, CHEP and IFCO. The management of both entities believes that IFCO, as an independent company, will continue to be a market leading, high-growth RPC pooling business with a strong growth profile and attractive investment proposition.
Although both CHEP and IFCO operate pooling models, they are distinct businesses with different customer bases, financial profiles and value propositions. There are no meaningful synergies between CHEP and IFCO.
From both the financial and market share perspectives, IFCO is a strong business and a global leader in RPCs with a large addressable market and clear opportunities to capitalize on growth in the sector. Since its acquisition by Brambles, IFCO has made substantial investments and has grown the business to the scale, market share and competitive position it holds today. It is well positioned for its future as
As a separate business, we will be able to focus exclusively on our own strategic agenda and respond more flexibly to opportunities and challenges within the markets that we serve.
an independent company, which will provide IFCO with increased flexibility to maintain singular focus as well as to pursue and fund value accretive growth opportunities that will be optimally funded under separate ownership. Brambles ex-IFCO, will continue to be strongly positioned to lead the platform pooling industry in customer service, innovation and sustainability. Subject to shareholder and regulatory approvals, the transaction is planned for completion during the 2019 calendar year.
“This is an exciting step for our business, and we believe it will enhance our ability to strengthen ties with existing customers while driving growth by dynamically expanding our customer base,” said Wolfgang Orgeldinger, CEO of IFCO. “As a separate business, we will be able to focus exclusively on our own strategic agenda and respond more flexibly to opportunities and challenges within the markets that we serve. I personally am very excited by this development as I am confident we are well positioned for growth as an independent company – and our momentum has already been demonstrated with our financial results this past year.”