Irish rigid plastics packaging manufacturer One51 plc has said it is exploring the potential of going public in the next 12 to 18 months, subject to market conditions. This strategy, said the company, has the full support of its largest shareholder, Caisse de dépôt et placement du Québec (CDPQ).
In April 2016, the One51 announced that it was deferring plans to proceed with an initial public offering or stock market listing after meeting with resistance from some major shareholders. These included Irish businessman and financier Dermot Desmond, whose 23 percent stake, held through his International Investment and Underwriting business, made him the largest shareholder in One51 until recently. Desmond sold his stake in May to CDPQ, reopening the door for another attempt at going public.
The first half-year result for 2017 announced by the company showed a jump in earnings of 31.1 percent to 32.4 million euros ($38.9 million) in the six months ending June 30, while sales grew by 32.4 percent to 225.8 million euros ($271.4 million) when compared with the 6-month period in 2016.
The increases were primarily driven by strong organic growth in IPL, the Group's North American plastics division, and the six-month contribution from Encore Industries, which was acquired in November 2016.
Group profit for the six-month period before tax, exceptional items, discontinued operations and the Group's share of profits from its equity-accounted investees, amounted to 14.8 million euros ($17.8 million), a 36.5 percent increase year on year.
In June 2017, the Group acquired Macro Plastics Inc., adding three new U.S. manufacturing locations in Kentucky, Washington State, and California to One51's portfolio.
One51 sold its Irish Specialist Environmental Services (SES) businesses in April 2017 and will now focus on the development and growth of its core plastics operations, through both organic and acquisition-led initiatives.
A stock-market listing would provide shareholders with a liquid market for their shares and would facilitate raising further equity if necessary to support future growth.
“Given the significant progress in the business, the Board has recommenced exploring a possible IPO,” said CEO Alan Walsh. “Trading for second half of the year has started satisfactorily and we remain confident of delivering full year results in line with market forecasts.”