Bong acquires Polish manufacturer of e-commerce packaging

Bong acquires Polish manufacturer of e-commerce packaging

Bong has signed an agreement to buy the remaining 90% of the shares in
the Polish company Bong CSK based in Poznan and will thereby become the
only shareholder of the company. Bong CSK is specialized in
manufacturing of air bubble bags used by e-commerce and mail order
companies for delivery of light-weight products to consumers. Bong CSK
has around 65 employees and a turnover of around 5 MEUR per year.

The background of Bong CSK is overprinting and sales of specialty
envelopes in the Polish market. In this field Bong CSK has co-operated
closely with the Bong Group, e.g., for its supply of white envelopes and
by representing Bong in Poland under a license agreement. Over the last
couple of years, the company has also invested in building up production
of air bubble bags, a product group which has grown quickly on the back
of the strong e-commerce trend in Europe. This new focus of the company
has lead to a fast-growing business in and outside Poland.
“The full integration of Bong CSK into the Bong Group means that we
strengthen ourselves as a supplier to e-commerce and mail order
fulfillment companies. It is fully in line with our ProPac strategy to
grow in selected specialty packaging niches” says Bong's President and
CEO Anders Davidsson. “Furthermore, with this acquisition and after the
merger with Hamelin's envelope division, we have quickly reestablished a
strong presence in the Polish envelope market - a growing market with
significant potential.”
Bong CSK will be consolidated from December 1, 2010 and it is forecasted
to have a positive result effect from the first quarter 2011.

For additional information, please contact Anders Davidsson, President
and CEO of Bong AB. Telephone (switchboard) +46 (0)44 20 70 00, (direct)
+46 (0)44 20 70 80, (mobile) +46 (0)70 545 70 80.