Chesapeake Services Ltd., which has a unit that makes plastic bottles and containers, is merging with Multi Packaging Solutions Inc. in a deal involving two companies chiefly involved with paper-based packaging.
“The combined manufacturing footprint and technological capabilities are truly unique and will position us to match our customers' needs with a broader range of products and operational flexibility,” said Marc Shore, CEO of MPS and the newly combined firm.
Chesapeake offers high density polyethylene and PET bottles and containers ranging from 100 milliliters to 30 liters, the company said on its website. Neck sizes range from 28 to 63 millimeters.
The new company will have sales of $1.4 billion annually, employ more than 7,000 workers and operate more than 50 manufacturing sites in the United States, Europe and China.
Ownership of the combined company will be split between investment firms Madison Dearborn Partners LLC and The Carlyle Group and management of both firms.
Carlyle Group had just acquired Nottingham, England-based Chesapeake from Irving Place Capital and funds managed by Oaktree Capital Management in July. Madison Dearborn Partners completed a deal for Multi Packaging Solutions, of New York, from Irving Place Capital in August.