Rigid packaging designer and supplier TricorBraun Holdings Ltd. could keep developing business in South America on its own over time, but instead is forming a joint venture to help accelerate growth in that part of the world.
The St. Louis-based company is teaming up with Amfora Packaging S.A.S. to create TricorBraun South America S.A.S., a 50-50 partnership that will cover Chile, Colombia, Ecuador, Peru and Venezuela.
TricorBraun has been working in both Mexico and South America for the past eight years, but indicated the new joint venture will quicken the development pace.
Carlos Acedo is general manager of Latin America for TricorBraun.
"We could have continued developing these markets on our own, but it would have taken substantially more time," he said in a statement. "We have aggressive growth plans and our relationship with Amfora instantly provides us with a more fully functioning, broad-based business model."
Amfora, formed through the union of Pieriplast of Lima, Peru, and Intecplast of Soacha, Colombia, "both leaders in the production of rigid plastic packages for the cosmetic and personal care industries," the company said.
Amfora was created in 2015 when Acon Investments LLC of Washington, D.C., acquired both firms.
"This is an exciting business combination that will allow us to gain an even deeper and more rapid foothold in a number of South American markets," said Keith Strope, who just turned over the TricorBraun CEO reins to Court Carruthers on Oct. 30, in a statement.
Jose Alejandro Arango becomes general manager of TricorBraun South America. Carlos Gama, a former packaging consultant in Mexico City, becomes sales manager.
News of the joint venture comes at a busy time for TricorBraun, which in September acquired Continental Packaging Associates, a packaging supplier in Bensalem, Pa. Earlier this year, the company acquired Salbro Bottle Inc. of Woodbridge, Ontario, a move that enhanced the company's position in 3D printing and rapid prototyping.
TricorBraun is a major distributor of rigid packaging, including plastic and glass containers, closures, dispensers and tubes. The firm has more than 40 locations throughout North America, England, China, Hong Kong, India.
The company, with annual sales of more than $1 billion, was acquired by AEA Investors LP from CHS Capital late last year.
TricorBraun, in recent weeks, also added a Bobby Sood as vice president of mergers and acquisitions.
The firm has more than 40 locations throughout North America, England, China, Hong Kong, India.
Strope is now executive chairman of the company. The appointment of Carruthers is part of a "long-term succession plan," the company said.
"To accommodate our aggressive growth strategy, we need to continue building strong leadership into the future. I have enjoyed working with Court as a member of our board and am excited about working closely with him as CEO. I look forward to focusing my time on our longer-term growth efforts as executive chairman," Stope said in a statement.
Carruthers joined the board when AEA Investors purchased the company.
Strope has been with TricorBraun for 36 years and became CEO in 2002 after five years as chief operating officer.
The company has grown five-fold under his leadership, TricorBraun said. "He will continue in an active role as Executive Chairman with a focus on mergers and acquisitions, strategy, and further expanding industry and customer relationships," the firm said.
Amfora owner Acon also has investment in Funko of Everett, Wash., which is known for making vinyl collectible pop culture character dolls.