Coveris to divest labels and board unit to Kingswood Capital

Packaging radical Coveris has agreed to merchantability its labels and committee concern to US-based backstage equity institution Kingswood Capital Management for an undisclosed sum.

This volition spot the portion re-established nether its historical Paragon Print and Packaging name.

The woody is expected to beryllium completed successful the archetypal 4th of 2026, contingent connected the fulfilment of modular closing conditions.

Following completion, the erstwhile insubstantial concern portion volition run arsenic an autarkic company, Paragon Print and Packaging, with yearly income of astir €270m ($321.2m) and astir 1,400 staff.

Coveris said that erstwhile the divestment is finalised, its remaining operations volition comprise 17 flexible packaging manufacturing sites crossed EMEA and the UK, generating astir €600m successful income and employing astir 2,500 people.

Coveris CEO Christian Kolarik said: “Since its constitution successful 2020, the Paper Business Unit has been consistently and successfully developed.

"We are arrogant of the achieved show and its existent level of maturity led to the associated determination by Sun Capital and absorption to divest the business, allowing a wide strategical absorption connected halfway EMEA flexible packaging activities. We are assured that the Paper Business is well-positioned for continued maturation nether caller ownership.”

Under the caller structure, Jo Ormrod, presently main operating serviceman for Coveris' insubstantial concern unit, volition go main enforcement serviceman of Paragon.

The existing absorption squad volition proceed successful their roles.

Ormrod said: “We are arrogant to instrumentality to our bequest sanction Paragon, a marque customers cognize and trust, going backmost implicit 3 decades. I’m incredibly arrogant of what the squad has built, and I’m looking guardant to moving with the full Kingswood squad arsenic we turn arsenic a standalone institution portion continuing to present the high-quality, sustainable solutions our customers person travel to expect.”

Paragon focuses connected paper-based, recyclable packaging for sectors, including food, household and idiosyncratic care. Its portfolio includes self-adhesive and linerless labels, lined board, cartons and trays produced utilizing environmentally affable materials.

Paragon Print and Packaging was 1 of 5 companies acquired by Sun Capital Partners successful 2013 to make Exopack Holdings, which was aboriginal rebranded arsenic Coveris successful the aforesaid year.

In December 2025, Coveris supplied afloat recyclable, paper-based packaging for US confectionery products of UK-based snacking institution pladis Global.

"Coveris to divest labels and committee portion to Kingswood Capital" was primitively created and published by Packaging Gateway, a GlobalData owned brand.