WILMINGTON, DEL. (April 4, 8:30 p.m. ET) — A Mideast film major has agreed to buy North American films producer Applied Extrusion Technologies Inc.
Taghleef Industries of Dubai, United Arab Emirates, and AET said April 5 that the transaction was approved by the boards of directors of both companies and is expected to be finalized by the end of the second quarter of 2012,pending regulatory approvals.
Taghleef claims annual biaxially oriented polypropylene film capacity of 572 million pounds while AET says it has 220 million poiunds of specialized BOPP films capacity. Taghleef has three manufacturing operations in the Middle East, one in Australia, two in Europe, and distribution centers in Germany, the United States and a sales office in China. Besides BOPP, Taghleef makes biaxially oriented polylactic acid film and cast polypropylene film.
AET Films, based in Wilmington, Del., runs two plants making BOPP films for food packaging, product labeling and non-food applications.
Investment bank Houlihan Lokey of Los Angeles is serving as financial advisor to AET Films and its shareholders.