Pactiv Evergreen Inc. is buying Fabri-Kal Corp., a maker of foodservice products and thermoformed packaging, in a $380 million deal.
Lake Forest, Ill.-based Pactiv Evergreen said Sept. 8 the deal is expected to close late in the third quarter or early in the fourth quarter.
"Combining these two complementary companies will further expand Pactiv Evergreen's position in the foodservice segment, broaden our sustainable packaging product offerings and customer base, and increase our manufacturing capacity and distribution capabilities," Pactiv Evergreen CEO Mike King said in a statement.
Some 72 percent of Fabri-Kal business is in foodservice and the remaining 28 percent is in the consumer products.
Fabri-Kal, of Kalamazoo, Mich., has annual sales of $334 million. The purchase, Pactiv Evergreen said, "subject to adjustments for cash, working capital and indebtedness."
Fabri-Kal has four manufacturing sites in the United States and about 1,000 employees.
Pactiv Evergreen is largest thermoformer in North America, according to Plastics News data. Fabri-Kal is No. 11.
Plastics News will be updating this story as more information becomes available.