Communisis plc, which bought packaging and food-service products company Waddington plc in early 2000, has sold its U.S. pharmaceutical packaging business Waddington Jaycare LLC for $46 million.
The buyer is a Jaycare management team led by President and Chief Executive Officer Douglas S. Ellis, financed by Cleveland-based private equity firm Linsalata Capital Partners.
Carlstadt, N.J.-based Jaycare will be renamed Paradigm Packaging Inc. The company blow molds stock and custom bottles and injection molds specialty closures at four sites: Saddle Brook, N.J.; Salt Lake City; Upland, Calif., and Rancho Cucamonga, Calif.
Jaycare serves the pharmaceutical, nutritional, food and personal-care industries. The new company intends to expand its product line and services. In addition, the management will "evaluate key acquisition targets for future expansion," Ellis said.
Jaycare reported profit of $3.4 million on sales of $49.5 million in its fiscal year ended March 31. It expects to record sales of more than $52 million for this fiscal year.
The Communisis sell-off concludes the company's disposal program, which will allow it to concentrate on its information management and communications businesses.
Communisis also announced the sale of a commercial printing business in Nottingham, England, to its management for 6 million ($9 million). The firm has sold 10 businesses for 225 million ($335 million) following a strategic review of the Waddington operations.