FOUNTAIN INN, S.C. (Nov. 10, 2:25 p.m. ET) — One of North America's largest thermoformers just got bigger, as D&W Fine Pack LLC has signed an agreement to buy CM Packaging Group for an undisclosed price.
The combined company will have annual sales of almost $400 million and will employ 1,600 at 11 plants in the U.S. and Canada, officials said in a Nov. 10 news release announcing the deal.
“Adding CM Packaging Group's offerings to our substantial product suite allows us to present customers with greater choice and flexibility to meet evolving demands in the foodservice and food packaging markets,” D&W president and CEO Mark Staton said in the release.
It's the second deal of the year for Fountain Inn, S.C.-based D&W, which ranked as North America's sixth largest thermoformer in a recent Plastics News ranking, with related sales of $280 million. In April, D&W acquired thermoformer Tri-City Packaging Ltd. of Waterloo, Ontario. D&W officials said in mid-2010 that the firm “continues to have a real appetite for acquisitions.”
Lake Zurich, Ill.-based CM supplies rigid plastic containers and aluminum packaging for the restaurant, grocery, bakery, produce and food processor markets. In addition to Lake Zurich, CM operates plants in New York, Michigan, Florida and Kentucky, as well as a distribution center in California. Those sites have a combined square footage of 460,000 and employ 300.
CM grew by acquiring thermoformers Packaging Direct Inc. in 2005 and Stone Plastics Inc. in 2006. The firm's annual sales were estimated at $57 million by Plastics News.
P&M Corporate Finance LLC of Southfield, Mich., served as advisor to CM on the deal.