Bemis Co. Inc. has entered the expanding South American plastics market by acquiring one-third of Dixie Toga SA's flexible packaging business. Bemis invested less than $40 million in the deal, which closed Feb. 12.
Sao Paulo, Brazil-based Dixie Toga is a publicly traded maker of flexible and rigid packaging materials with annual sales of about $443.9 million. Its flexible packaging unit has annual sales of about $124.3 million and is one of the largest such operations in South America.
The flexible packaging operations are being set up as a separate company called ITAP/Bemis Ltda.
Dixie Toga uses monolayer and multilayer polyethylene film in its products.
Minneapolis-based Bemis reported North American film sales of $804.3 million in 1996.