HCP Packaging USA Inc. is in the process of gaining its first U.S. plastics manufacturing site, after having its bid to acquire the assets of Bridgeport Metal Goods Manufacturing Co. approved by the U.S. Bankruptcy Court in Bridgeport, Conn.
HCP, a sales and design office based in Southbury, Conn., is part of the Hsing Chung Plastics Group. The China company specializes in cosmetic packaging, personal-care products and pharmaceutical packaging.
The company announced that the court had approved its acquisition of substantially all the assets of Bridgeport Metal Goods, which specializes in cosmetic packaging, particularly for the mascara market.
The purchase value is estimated at $6.5 million and includes the assumption of BMG's business contracts.
The parties expect the deal to close by Aug. 6.
Bridgeport Metal Goods has been operating a 111, 000-square-foot facility in Hinsdale, N.H., under Chapter 11 protection from creditors since March. HCP will take over the facility and retain a significant number of current employees.
``BMG has been a major player in the mascara and lip gloss packaging market and was one of the top 3 in North America,'' said Steven A. Levine, president of HCP Packaging.
He said the Hinsdale plant had about 150 employees, 25 injection molding machines, 14 blow molding machines and 20 brush machines. BMG had annual sales of $25 million.
Levine said that the acquisition will boost HCP Packaging's global clout. Its major clients include Estee Lauder, L'Oreal, Revlon, Mary Kay, and Procter & Gamble Co.
``We're hopeful that establishing a manufacturing base here in the U.S. will not only allow us to gather a bigger share of the mascara market, but also serve our other product lines like compacts and lipsticks,'' Levine said.
HCP is privately held by American ownership, but has manufacturing facilities in Suzhou, and Shanghai, China, as well as offices in France, Taiwan and Hong Kong.