By: Jim Johnson
June 2, 2014
Sun Capital Partners Inc. continues to realign its plastic packaging operations, this time by folding KubeTech Custom Molding Inc. into Coveris Holdings.
Both KubeTech and Coveris are owned by the private equity firm based in Boca Raton, Fla.
Pittsburgh-based KubeTech has locations in Anderson, S.C., Excelsior, Mo., and Newark, Del., and provides injection molding and assembly processes.
The company is a supplier to packaged goods companies and has what it calls “primary expertise in the personal care and household product markets.”
“This action provides a significant expansion of our rigid packaging capability in North America and will help us leverage this capability in the context of the larger Coveris organization,” Coveris CEO Gary Masse said in a statement.
KubeTech CEO Steve Wirrig now will become division president of Coveris’ Rigid Packaging North America unit.
Coveris, which describes itself as the sixth-largest plastic packaging company in the world, formed in May 2013 when five companies owned by Sun Capital Partners united under a single banner, originally Exopack Holdings. Exopack changed its name to Coveris last fall.
The five companies that originally joined together were Exopack Holding Corp., Kobusch Group, Britton Group, Paragon Print & Packaging Corp. and Paccor.
KubeTech launched in early 2013 when Rexam plc sold off its home and personal care businesses. Wirrig came with the business as he was the former managing director of Rexam’s home and personal care business.
Rexam built its plastics business, in part, by purchasing Precise Technology Inc. for $275 million in 2005 and making that company part of its personal care division, Plastics News previously reported.
That personal care division ended up being sold in two parts, with Silgan Holdings Inc. acquiring Rexam’s thermoformed high-barrier food packaging business for $250 million. An affiliate of Sun Capital purchased the rest of the home and personal care business, including what would become KubeTech, for $459 million, Plastics News reported.