Sigma Plastics buys Southern Film Extruders

By Frank Esposito
Senior Staff Reporter

Published: October 3, 2013 5:34 pm ET
Updated: October 3, 2013 5:36 pm ET

Related to this story

Topics Mergers & Acquisitions, Packaging, Extrusion, Film & Sheet

North American film giant Sigma Plastics Group is growing again, this time by acquiring Southern Film Extruders Inc., a polyethylene film manufacturer that filed for bankruptcy earlier this year.

No purchase price was disclosed. In an Oct. 3 news release, Sigma Chairman and CEO Alfred Teo said that High Point, N.C.-based Southern “is a well-established, reputable company that complements our industrial film expansion strategy.”

Teo added that Lyndhurst, N.J.-based Sigma “is committed to providing the capital and support necessary to allow Southern Film to reach its full growth potential.”

Southern operates 65 million pounds of capacity at two plants in High Point making monolayer, three-layer, barrier, converter and lamination films. The firm employs 175 and posted sales of $70 million in 2012.

John Barnes, Southern’s general manager, will remain with the firm after the sale.

On Aug. 4, Southern filed for Chapter 11 bankruptcy in U.S. Bankruptcy Court in North Carolina. The firm listed assets of $10 million to $50 million and debts of $1 to $10 million in the filing. In late July, Southern’s creditors had filed an involuntary Chapter 7 bankruptcy filing against the firm. Southern’s largest creditor was resin supplier Westlake Polymers LLC, which was owed almost $5 million.

The acquisition is Sigma’s fifth in the last five years, but it’s first since 2010, when the firm bought McNeely Plastic Products Inc., a maker of blown film, laminations and bags in Clinton, Miss. In 2009, Sigma bought blown film maker Santa Fe Extruders Inc., in Santa Fe Springs, Calif.; FlexSol Packaging Corp. of Pompano Beach, Fla.; and ISO Poly Films Inc. of Gray Court, S.C.

Sigma ranked as North America’s second-largest film and sheet maker in a recent Plastics News survey with sales of $2.45 billion in 2012.


Comments

Sigma Plastics buys Southern Film Extruders

By Frank Esposito
Senior Staff Reporter

Published: October 3, 2013 5:34 pm ET
Updated: October 3, 2013 5:36 pm ET

Post Your Comments


Back to story


More stories

Image

Ferro sells another piece of its plastics business

December 19, 2014 3:33 pm ET

Ferro Corp. has sold its North American polymer additives business to a private equity firm for $154 million in cash.    More

Image

Alex Brands buys iconic Shrinky Dinks toys

December 19, 2014 3:15 pm ET

First Slinky, now Shrinky Dinks. What will toy and games investment firm Alex Brands buy next?    More

Image

Thailand's SCG Chemicals buying Norwegian chemical firm Norner

December 19, 2014 9:11 am ET

Thailand's SCG Chemicals Co. Ltd. has announced it has acquired 51 percent of the shares in the independent petrochemical company Norner Holding AS...    More

Image

BASF to sell its share in Singapore JV

December 19, 2014 8:37 am ET

BASF SE has announced that it has reached an agreement for it to sell its share in the 50-50 joint venture ELLBA Eastern, at Jurong Island, Singapore ...    More

Image

Amcor buys Chinese flexible packaging plant

December 18, 2014 1:47 pm ET

Australian-based global packaging company Amcor Ltd. is buying a Chinese flexible packaging business for 211 million RMB (US$31.4 million).    More

Market Reports

Flexible Packaging Trends in North America

Our latest RESEARCH report examines trends in FLEXIBLE PACKAGING impacting the North American market including a review of economic conditions, key drivers of growth, materials pricing, M&A activity, sustainability challenges and the outlook for 2015.

Learn more

Plastics in Brazil - State of the Industry Report

This in-depth report examines the Brazilian plastics industry from a historical and geographical context. Our analysts provide insight on economic trends and forecasts, growing manufacturing sectors that utilize plastics, private investment opportunities, market environment challenges, and innovations in R&D.

Data tables and charts on producer prices, trade, plastics production and end market indicators is also included.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Upcoming Plastics News Events

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

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

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events