Cork-based Zeus Packaging Group has acquired Spanish company Koex Packaging Solutions for €24 million.
This represents the sixth acquisition by the Irish group in the past three years for a combined €90 million, as the Irish company aggressively grows its footprint in the sector.
Based in Madrid, Koex also has offices in Miami and Paris and a manufacturing base in Fuzhou, China. It has annual revenues of about €25 million and 45 staff.
The Spanish company “supports” international brands such as Massimo Dutti, Pull&Bear, Fnac, Burger King, Reebok and Steve Madden with premium packaging and global logistics.
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Other clients served by the combined group include Hugo Boss, McDonald’s, Lush, Harrods, Nike, and TAG Heuer.
Zeus said the deal would help the Irish group record revenues of €600 million in 2026. This would represent growth of about 20 per cent on the near €500 million in turnover achieved last year.
This is being fuelled by a mix of organic growth and full-year contributions from recent acquisitions.
In addition to its acquisitions, Zeus recently appointed two non-executive directors: Brian O’Kelly, formerly head of corporate finance at Goodbody Stockbrokers; and Paul Hogan, an experienced executive who is also a director with Irish-listed company Uniphar.
Zeus also secured a €150 million line of finance from a syndicate of banks comprising AIB and three international lenders, to help fund its growth.
Other recent strategic acquisitions have included JJ O’Toole in Ireland, and four deals in the UK, with Boxmart, Smith Bateson, Swanline Group and Simpac.
Speaking to The Irish Times, Zeus founder and owner Brian O’Sullivan described these businesses as “mom and pop” operations that fit with the culture and profile of Zeus, which he said was the largest private packaging company in Europe with a single shareholder.
“This is about legacy. Creating a business that has a future that’s sustainable and can grow, and clearly I need to develop a culture within our own businesses and the businesses we acquire,” he said.
“Koex brings strong capabilities in luxury and retail packaging, and when combined with our existing network, we now offer full production, sourcing, design and engineering capabilities at scale.
“Our job will be to take what they’ve built over the past 20 to 25 years and use the power of Zeus to drive it on forward.”
Koex commercial director Luis Astorquisaid: “From the outset, it was clear that both businesses share the same values – a strong customer focus, a commitment to quality, and a long-term view of partnership.
“Being part of an owner-run group with the agility to make quick decisions and the ambition to grow internationally creates exciting opportunities for our customers and our team.”
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O’Sullivan said that while there was “no direct hit” to the company from the flux created by US president Donald Trump’s tariffs last year, some projects were put on hold by customers.
“We do a lot of packaging for machinery across Europe for confectionery and some of those projects were put on hold. There was probably a six- to nine-month hold on projects that we expected to complete in 2025 that will now complete this year.”
He said the EU’s recent trade agreement with India presented business opportunities for Zeus. “We’ve got some very good partners in India and the 6, 7 per cent or whatever level of tariffs being removed will help.”
Founded in 1998, Zeus employs more than 1,500 people across 42 countries. It will now have 65 production and logistics locations and provide sustainable packaging across food service, retail, industrial, agricultural and ecommerce sectors.
O’Sullivan was named the EY Entrepreneur of the Year in 2021. At that time, the company employed about 670 staff and had annual revenues of €300 million.
