Song Seng to be acquired by Duni

BOX, Sweden -  Duni has invested SGD 15 million to acquire the assets and business of Song Seng Associates Pte Ltd, a manufacturer of disposable packaging for food and beverages in Singapore. In addition to its own product portfolio, the company provides opportunities to customise solutions to customers that include hotels, restaurants, different types of restaurant chains, as well as hospitals and other healthcare institutions. Song Seng has a strong position in the city state and a growing export business in Asia and Oceania.

About 75% of the purchase price will paid at the time of acquisition and 25% after three years. The additional purchase price is conditioned on the company's profit performance.

Founded in 1984, Song Seng has 32 employees. In 2013, Its annual sales are estimated to be SGD 16 million in 2013. Its profitability is well in line with Duni's financial goal of a >10% EBIT margin. Duni will acquire the company's assets on July 1, 2013.

"I'm very pleased that Song Seng is set to become a part of the Duni Group. This acquisition is a key step in our growth strategy of expanding on emerging markets and increasing our level of service in the growing take-away and fast food chain segment," says Thomas Gustafsson, president and CEO of Duni.

"I'm very glad that Song Seng will be joining the Duni Group. Song Seng's product portfolio and market knowledge in Southeast Asia will make a very positive contribution to Duni's continuing growth strategy, both on our existing market and inEurope," says Willie Soh, CEO of Song Seng Associates.

Duni supplies attractive and convenient products for table setting and takeaway. Its brand is sold in more than 40 markets and enjoys a number one position in Central and Northern Europe.