BWay buying Ropak Packaging from Linpac for $265 million

Published: December 3, 2012 6:00 am ET

Related to this story

Topics Packaging, Mergers & Acquisitions, Injection Molding, Blow Molding

ATLANTA (Dec. 3, 12:35 p.m. ET) — BWay Corp. has acquired Ropak Packaging, a division of Linpac Group Ltd., in a deal valued at about $265 million.

Ropak, based in Fountain Valley, Calif., injection molds rigid shipping containers for industrial and consumer applications.

Ropak has seven plants in North America, including a plastics recycling operation at its Springhill, Nova Scotia, facility. It was No. 29 in the most recent Plastics News ranking of North American injection molders with estimated sales of $220 million.

BWay, based in Atlanta, also makes rigid packaging. Its product offerings include pails, drums and tight-head containers made from plastic, metal and hybrid materials.

The acquisition gives BWay an opportunity to broaden its product portfolio and expand its reach; it’s a “natural and exciting combination,” said Kenneth Roessler, BWay’s president and CEO, in a news release.

BWay itself has a new owner. Private equity firm Platinum Equity LLC of Los Angeles finalized its purchase of BWay last month, in a deal worth approximately $1.24 billion.

BWay immediately launched operational and M&A initiatives to strengthen and grow the company, according to the release.

BWay has total sales of $1.2 billion. About 40 percent of the company’s 2011 net sales were in plastics.

The company has 11 plastics plants, and 22 overall, in North America. It is North America’s 13th largest injection molder and is No. 26 in PN’s ranking of North American blow molders.

This is the latest in a series of divestures for the Birmingham, England-based Linpac, following the company’s debt restructuring in 2009.

In March, One Equity Partners of New York purchased Linpac Allibert, the company’s returnable transit packaging arm. In 2011, the company sold five non-core business units to funds managed by Chamonix Private Equity.

Bway will acquire Ropak from Linpac Group via a stock purchase. The purchase will boost BWay’s earnings power and should be a deleveraging event for the company, according to the release.


Comments

BWay buying Ropak Packaging from Linpac for $265 million

Published: December 3, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Acquisition expands Rieke Packaging's stake in Asia

July 28, 2014 4:39 pm ET

Diversified rigid packaging components producer Rieke Packaging Systems now has a bigger footprint in Asia.    More

Image

Two medical device makers add specialty products through acquisitions

July 28, 2014 3:02 pm ET

The medical merger mania continues this summer as two more medical device manufacturers are swallowed up by bigger competitors.    More

Image

Deal combines US packaging thermoformers

July 28, 2014 12:42 pm ET

Thermoformed medical packager Nelipak Corp. is expanding its North American holdings and access to the U.S. health care market with the purchase of...    More

Image

Sealed Air's move to Charlotte will put it all under 'One Roof'

July 25, 2014 2:03 pm ET

Sealed Air Corp. shook the ground last week by announcing plans to relocate its headquarters from Elmwood Park, N.J., to Charlotte, N.C., in a move...    More

Image

Columbine Plastics moving to new Colorado site

July 25, 2014 11:38 am ET

Custom injection molder Columbine Plastics Corp. plans to move from Boulder, Colo., to the Colorado Technical Center in Louisville, Colo.    More

Market Reports

Plastics Recyclers Data Report & Directory

This exclusive MS Excel database contains all the companies from Plastics News' ranking of top North American Recyclers and Brokers by reprocessed volume and also includes a directory with materials processes, services offered and company contact information. Data is based on primary research by PN editorial staff.

Learn more

2014 Injection Molding Industry Report

GROWTH, OPPORTUNITY IN SIGHT FOR INJECTION MOLDERS IN 2014

In the wake of the economic turbulence earlier in this decade, molders today find themselves in much better shape. Molders are gaining a competitive advantage by investing in people, equipment and seeking inroads into new markets on a global scale.

Growth in the injection molding industry is going to be driven by low financing costs and a continued move to reshore some business.

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

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

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

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

More Events