Portals has a history dating back more than 300 years, and had supplied banknote paper to the Bank of England since 1724 prior to the switch to polymer substrates.
Former owner De La Rue sold the security papermaking business to private equity firm Epiris seven years ago.
Family-owned Drewsen Spezialpapiere lays claim to being Germany’s leading manufacturer of security papers. It also makes technical papers for label printing, packaging papers, as well as for high-speed inkjet and publishing applications.
Lachendorf-based Drewsen has sales of €241m (£203m) and annual production capacity of 170,000 tonnes.
The two firms described their combination as a “pivotal development” that would combine a wealth of technical know-how, along with complementary product offerings.
The duo also highlighted a mutual focus on long-term customer relationships, service and quality.
Drewsen CEO Matthias Rauhut said the deal represented a new chapter for both organisations.
“Driven by a clear vision and shared values, mutual trust, transparent cooperation, and a commitment to strategic collaboration, Drewsen and Portals are stronger together, and we are ready to shape the future of the security paper industry.
“With the ability to offer both Fourdrinier and Cylinder Mould paper making solutions, we can offer our customers new and unique possibilities, allowing for tailored, innovative security paper solutions that meet the highest standards.”
The deal was finalised on 1 January following an extensive due diligence process, and officially confirmed today (13 January).
The individual entities and names will be retained.
Portals director Ross Holliday commented: “Today’s announcement is not just a consolidation of resources, but an arrangement that will benefit our customers, our employees and for the wider the industry itself.
He said the partnership provided Portals with new opportunities for growth, and an expanded product offering “while continuing our successful operations at the Bathford Paper Mill”.
Since the closure of its Overton banknote paper site in 2022 Portals has focused on the production of specialist papers for passports, certificates and security documents at its Bathford mill.
In its most recent accounts, to 25 February 2024, the firm filed sales on continuing operations of £23.4m, up from £15.9m on a like-for-like basis on the prior year. Gross margin increased to 52% (2023: 38%) and the operating profit was just over £5m (2023: £293,000).
The firm employed 125.
Before the closure of Overton sales at Portals had been nearly £122m.
