Packager DS Smith to exit plastics business, focus on fiber products

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DS Smith Plc has agreed to sell its plastics division to private equity firm Oly...

- DS Smith Plc has agreed to sell its plastics division to private equity firm Olympus Partners as the packaging company looks to focus on fiber and corrugated products, it said on Wednesday, sending its shares up as much as 6.3 percent.

The sale marks an end to the company’s foray into plastics and would allow it to focus on recyclable packaging materials and corrugated products. The plastics business, which includes flexible and rigid plastics and foam products, reported a profit before tax of 28 million pounds for the 12 month period ended Oct. 31.

“We believe this is slightly ahead of investors’ 350-400 million pound expectations”, Jefferies analysts said.

 

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Hollywood is going to have to re-edit The Graduate. Since now Plastics is a dirty word. parscale

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