Specialty paper manufacturer Appleton Papers Inc. said Dec. 18 it had completed the sale of film converter C&H Packaging Co. Inc. to InterFlex Group Inc. of Wilkesboro, N.C. Terms were not disclosed.
Appleton, Wis.-based Appleton in 2003 acquired Merrill, Wis.-based C&H and its sister company, film extruder American Plastics Co. Inc. of Rhinelander, Wis.
C&H prints and converts multilayer film for food, household and industrial uses, among others. The company produces stand-up pouches, lids and specialty films for cheese and other custom packaging in food processing, household and industrial products. According to an Appleton news release, C&H employs 80.
Appleton CEO Mark Richards said the company intends to focus its performance packaging operations on film. In addition to American Plastics a maker of five-layer coextruded and barrier film Appleton runs blown polyethylene film maker New England Extrusion, with plants in Turners Falls, Mass., and Milton, Wis.
Appleton put C&H up for sale in July. According to a Securities and Exchange Commission filing, Appleton's third-quarter profit was about $31 million on sales of about $222 million vs. a loss of about $26 million on sales of $256 million for the year-ago period.
Appleton's third-quarter performance packaging sales were about $27 million, 10 percent lower than the year before. The firm blamed the drop on weak demand and lower selling prices in response to lowered resin costs.
Appleton and InterFlex officials were unavailable for comment. Deloitte Corporate Finance LLC advised on the deal.
InterFlex is a leader in specialty food packaging, with estimated sales of $100 million annually. It is owned by Red Diamond Capital Inc., a New York private equity fund.
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