Mergon

Sector: Industrials

Status: In Portfolio

Fund: II

Deal type: Management buyout

Investment date: December 2019

Mergon, an international manufacturer of injection moulded and blow moulded plastic products, has a strong operating platform for organic growth and bolt-on acquisitions.

The business – based in Ireland – designs, manufactures and supplies a diverse range of products to a blue-chip customer base across the automotive, industrial and healthcare sectors.

It has manufacturing facilities in Ireland, UK, Czech Republic, US and Mexico, and more than 900 employees.

View website

“We were attracted to the entrepreneurial culture of the team at Elysian and their success at helping companies like ours. We are looking forward to working with them as we continue to grow the business and expand into new markets, in particular in China, and seek out acquisitions.”

Pat Beirne

Chief Executive, Mergon

Investment rationale

Mergon’s state-of-the-art facilities include automated manufacturing through the use of robotics, meaning improved efficiency, quality and competitiveness. Its products include packaging, automotive air management systems, safety barriers, tool cases and diagnostic test kits.

The business has established long-term customer relationships across all its target sectors and achieved especially strong revenue visibility in automotive.

Creating value

Following the investment, we have worked with the management to enhance systems and processes, and to identify potential bolt-on acquisitions.

We are particularly keen to accelerate Mergon’s growth opportunities in the industrial sector.

Under our ownership Mergon has:

Expanded its geographic footprint into the United Kingdom through the acquisition of Weltonhurst Limited, now Mergon UK, and the opening of a greenfield facility in Mexico.
Achieved a CarbonNeutral® Building certification at its Irish site. Mergon’s carbon offsetting programme delivers finance to emission reduction projects, supporting the transition to a low carbon global economy.
Won new business with electric vehicle companies.
Unveiled new branding and a new logo to reflect extensive growth with new capabilities, skills and customers’ markets.