p s — p s — Lordos United has made a significant move in the packaging industry by agreeing to acquire a 51 per cent controlling stake in P&S Carton Industries for €8.16 million. This transaction marks Lordos United’s entry into Cyprus’ corrugated packaging sector, diversifying its business portfolio.
The acquisition agreement was signed on Friday with the existing shareholders of P&S Carton Industries, pending regulatory approval from the Commission for the Protection of Competition. Lordos United, listed on the Cyprus Stock Exchange and primarily involved in plastics manufacturing, aims to enhance its operational excellence and shareholder value through this strategic purchase.
P s: About P&S Carton Industries
Founded on December 5, 1991, P&S Carton Industries has built a reputation as the sole domestic manufacturer of corrugated cardboard boxes in Cyprus. The company meets approximately 60 per cent of the local packaging demand, serving a diverse customer base across sectors such as beverages, agriculture, pharmaceuticals, and consumer goods.
Strategic Importance of the Acquisition
Lordos United’s board has described the acquisition as both strategically and financially attractive. Analysts highlight P&S Carton’s dominant market position as a key factor in the decision. The lack of significant domestic competition in the corrugated packaging market positions P&S Carton favourably for future growth.
Additionally, this acquisition will allow Lordos United to diversify its product offerings beyond plastics. With increasing regulatory pressures within the European Union against single-use plastics, the cardboard packaging sector is projected for long-term growth. Lordos United’s move aligns with these market trends, creating opportunities for cross-selling integrated packaging solutions.
Financial Implications and Future Plans
The financial aspects of the deal indicate a promising outlook for Lordos United. The company expects to consolidate approximately €11.4 million in annual turnover from P&S Carton following the acquisition. Moreover, Lordos United anticipates that its 51 per cent share of P&S Carton’s EBITDA will reach around €869,248 based on projected financial performance.
In line with its growth strategy, Lordos United plans to invest in new machinery in 2027 and 2028 to enhance production capacity and improve cost competitiveness for P&S Carton. These investments are expected to solidify the company’s position as a leader in the packaging sector.
Regulatory Approval and Next Steps
Completion of the acquisition hinges on the Commission for the Protection of Competition’s approval. Once finalised, P&S Carton will be listed as a 51 per cent-owned subsidiary in Lordos United’s consolidated financial statements under IFRS 10.
Lordos United has stated that the acquisition has been conducted at arm’s length, ensuring transparency and fairness in the transaction. The company has committed to providing further updates once the acquisition process is complete.
