The formation of bipolarons in the presence of magnetic impurities is studied theoretically. We use the extended Hubbard Su-Schrieffer-Heeger (SSH) model with Brazovskii-Kirova and Kondo interaction terms. Parameters are chosen suitably for cis-polyacetylene. A Quantum Monte Carlo (QMC) algorithm is used to study the equilibrium lattice structure and charge distribution as a function of doping level and Kondo exchange integral. The magnetic impurities can have a destructive effect on bipolaron stability, instead favouring the two polaron configuration. However by suitably adjusting the doping level, bipolarons can be stabilized over a wide range of impurity strength. © 2009 Elsevier B.V. All rights reserved.