A well-known private equity firm is acquiring a U.S.-based maker of plastics cosmetic packaging components and tubes, and adding additional overseas capacity and creating with an eye toward growth.
Bain Capital Private Equity purchased World Wide Packaging LLC of Florham Park, N.J., The company also is adding an unnamed Chinese cosmetics packaging manufacturer and plans to merge the two companies to form a fully integrated solutions provider, it said in an April 3 announcement.
"With this deal, the combined entity will have a customer-facing function primarily in the U.S., and manufacturing, sales and marketing operations in China," said Jonathan Zhu, a managing director at Bain, in a statement.
The combined company looks to expand its efforts in the independent beauty market as well as its work with larger cosmetics companies. That includes efforts in China, where Zhu said cosmetic demand is growing at three times the rate of the United States.
World Wide Packaging opened in 1980 and provides packaging components as well as custom and stock molded products.
The company's headquarters is a 20,000-square-foot location that includes more than 3,000 offerings as well as a 1,500-square-foot product showroom. The company also has a sales office and showroom in Woodland Hills, Calif., as well as a 100,000-square-foot tube making location in Suzhou, China, that produces both extruded and injection molded products.
The company makes lip gloss and lipstick packaging, cosmetic compacts, eyeliner and mascara packaging, as well as pumps, jars, pots, bottles and tubes, according to its website. Customers range from mass market to higher end brands.
CEO Barry Freda will continue to lead World Wide Packaging as the firm's management team will remain, Bain Capital said.