MELBOURNE, AUSTRALIA — Australia’s competition watchdog, the Australian Competition and Consumer Commission (ACCC), is yet to approve packaging giant Amcor Ltd.’s A$50 million acquisition of Detmold Flexibles, a unit of Adelaide-based Detmold Group.
The approval process may take several months, Detmold Group said in a statement.
Melbourne-based Amcor announced the purchase of the privately owned Australian flexibles packaging business on Nov. 18.
Amcor will merge the Melbourne-based business with its Amcor Flexibles Asia Pacific division.
Detmold Flexibles has annual sales of about A$55 million and operates two flexible packaging plants in the state of Victoria at Dandenong and Port Melbourne. Products are sold under the Detmold CGP (consumer goods packaging) brand.
In a statement, Amcor CEO and Managing Director Ken MacKenzie said the deal will give Amcor the option “to invest in both product and process innovation,” adding: “Given the manufacturing overlap in the businesses there is considerable opportunity for operational synergies.”
Detmold Flexibles was created in 2005 when Detmold Group purchased a 100-year-old family-owned company, Charles Gabb Flexible Packaging.
Its key products are flexographic and gravure printed film and paper; solvent, solvent-less and water-based laminations; waxed paper; and stand-up pouches with or without zippers.
Products are manufactured from clear and metalized polypropylene; high and low density polyethylene; PVC; and acrylic-coated barrier films.
Detmold Group Executive Chairman Rodney Detmold said after the sale, his company will focus on its core paper and board products.