Amcor sells three manufacturing plants to Integrated Packaging Group

By Kate Tilley
Correspondent

Published: October 16, 2012 6:00 am ET

Related to this story

Topics Packaging, Mergers & Acquisitions, Film & Sheet

MELBOURNE, AUSTRALIA (Oct. 16, 3:45 a.m. ET) — Integrated Packaging Group Pty Ltd's (IPG) acquisition of three Amcor Ltd.’s Australian flexible packaging plants for A$22 million (US$22.6 million) is likely to be finalized in November, subject to regulatory approval.

Melbourne-based global packaging company Amcor bought the three plants as part of its US$252.5 million acquisition of Melbourne-based flexible packaging supplier Aperio Group Australia Pty. Ltd. The sale was finalized in March.

The plants are in Cheltenham, Victoria; Chester Hill, New South Wales; and Kirrawee, New South Wales. They manufacture plain and printed polyethylene products, including printed industrial bags; shrink film; and PVC food films.

Melbourne-based IPG manufactures and distributes polyethylene stretch film wrap and associated products to the agricultural and industrial markets. IPG bought Amcor's flexible packaging plant in Kewdale, Western Australia, in August 2008.

In a statement, Amcor said the three plants serve non-core industrial and agricultural markets. The sale is subject to approval from the Canberra-based regulator, the Australian Consumer and Competition Commission.

Amcor said the sale will not impact expected synergies from the Aperio acquisition, which will remain at A$25 million (US$25.7 million) by year three.

IPG CEO John Cerini said the acquisition reinforces IPG's growth strategy in industrial and agricultural packaging, allowing it to further grow its Australian, New Zealand, Asian and North American markets.

"It gives us additional capabilities in printing, converting and PVC food films which will improve our technical expertise providing opportunities into new sales market segments and gives IPG an excellent platform for future expansion," Cerini said.

IPG will formulate a 100-day plan to integrate the businesses. To aid the transition, Amcor will continue to provide some services to IPG for an unspecified time. No job cuts are expected, with IPG offering employment to all Amcor employees at the three sites.


Comments

Amcor sells three manufacturing plants to Integrated Packaging Group

By Kate Tilley
Correspondent

Published: October 16, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Bayer spinning off plastics business

September 18, 2014 8:49 am ET

Bayer AG will spin off its MaterialScience plastics group into a separate, publicly-traded company within the next 12 to 18 months.    More

Image

Kydex, Allen Extruders joined under Sekisui SPI name

September 17, 2014 4:12 pm ET

Sekisui Chemical Co. Ltd. is combining plastic sheet makers Kydex LLC and Allen Extruders LLC under one roof as Sekisui SPI.    More

Badger buys competitor Joseph Homa

September 17, 2014 4:04 pm ET

Badger Plug Co. has extended its protective plugs customer base by acquiring and closing a rival, Joseph Homa Consultants Inc. of Montreal.    More

Image

NY packaging company aims for zero waste

September 16, 2014 1:36 pm ET

Plastic folding carton maker Diamond Packaging is no longer sending any manufacturing waste to landfills.    More

Image

American Renolit sees steady gains in the film market

September 16, 2014 11:51 am ET

American Renolit Corp. has changed its product mix, changed its customer base and managed to grow in a market that was initially skeptical about the c...    More

Market Reports

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Thermoformed Packaging 2014 Market Review & Outlook – North America

This in-depth report analyzes economic and market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as growth strategies being implemented by thermoformed packaging companies.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events