Exopack Performance Films Inc. has agreed to acquire DuPont Co.'s performance films business and related production plant in Whitby, Ontario, for undisclosed terms.
The deal will leverage Exopack into some specialty films that Exopack had bought on the market to incorporate into its products.
Whitby's Dartek nylon 6/6 barrier film production is a major new area for Exopack, but some of the specialty Sclairfilm sealant films made there also are new to Exopack, according to Exopack corporate marketing manager Chris Swalm.
The business being sold is part of DuPont's Liquid Packaging Systems, or Liqui-Box, unit, which mainly makes vertical form, fill-and-seal pouches for aseptic and nonaseptic applications, as well as bag-in-box uses. Exopack of Spartanburg, S.C., has agreed to a long-term deal to continue supplying Liqui-Box with films and laminates made at Whitby.
The parties expect to finalize the purchase this month, subject to regulatory approval. Officials did not disclose annual sales or capacity figures for the business.
Exopack will offer employment to about 129 Whitby employees. Another 35-40 employees are part of Liqui-Box and will relocate to other DuPont facilities, said Liqui-Box spokeswoman Gail Sawchuk-Grieve.
``This sale will enable us to strengthen our focus on our core business in dairy, liquid food and beverage packaging systems,'' said DuPont Liqui-Box global business director Doug Baker in a news release.
Buying the Whitby facility will expand Exopack's abilities and product offerings and bolster the Exopack brand in the marketplace, said Exopack Chairman and Chief Executive Officer Jack Knott.
Last year there was unconfirmed speculation that DuPont was trying to sell its Liqui-Box business. Sawchuk-Grieve said the business is not currently for sale, after DuPont brought in new technology and made other improvements to make the business more sustainable.
Exopack is a plastic film and paper packaging producer with 17 production facilities in North America and the United Kingdom. Its North American film business logged sales of $319 million last year, according to Plastics News' ranking.
Typical products made by the company include microwave packaging, printed collation shrink films, laminates, bags and pouches, medical components and optical and electronic films.
Exopack is an affiliate of Sun Capital Partners Inc., a private investment firm in Boca Raton, Fla.