K.W Doggett and BJ Ball are all clear to merge, following the ACCC acceptance of the merger, with a completion date set for July 3.
BJ Ball AU will acquire K.W Doggett, and BJ Ball NZ. The newly created entity will be the largest, most diversified paper, packaging and print media distribution business in Australia, headed by executives from both companies. The merged company is then going to be purchased by Japan Pulp & Paper (JP), a Japanese paper conglomerate.
The $6bn company JP is spending $75m for a 51 per cent stake, with the option to buy the remaining 49 per cent in two to three years time.
AK Watanabe, President of Japan Pulp and Paper says, “We are very pleased that the merger has been approved. It is an exciting step forward. JP is committed to being a long-term partner to the ANZ market.”
Simon Doggett and Craig Brown, the respective managing director and CEO of K.W Doggett, and Luke Wilkinson, general manager, BJ Ball will head the new company, with other employees of both companies filling out the leadership roles.
Simon Doggett says, “Now that we’re able to move forward with planning the launch of the new business, we are forming teams to bring the plan to life. A critical aspect for me will be to maintain our high level of service, culture and product during this time.”
Brown says, “The merger will be a game-changer for our industry and ensures we are meeting the future head-on. Not only does this involve sustaining our position in the print and paper industry for the decade ahead, it also guarantees we are a progressive long-term employer.”
The two companies note there will be inevitable team and site consolidations, with affected staff to be helped through the transition, however figures have not yet been provided.
A change in branding is also on the horizon, with a prominent Sydney-based agency commissioned to create a new company name.
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