US private equity house Madison Dearborn Partners has reached initial agreement to buy Irish-founded packaging company Powerflute less than a year after failing at the first attempt.

Irish-founded packaging firm Powerflute remains open to further acquisitions despite challenging market conditions weighing on first-half results.

Packaging firm Powerflute is considering further takeover opportunities after seeing its purchase of international cardboard manufacturer, Corenso in 2014, enhance earnings significantly last year.

Shares in Irish-founded packaging company, Powerflute jumped by nearly 2% at one point yesterday following an indicative takeover approach from US private equity house, Madison Dearborn Partners.