PaperWorks to Merge With Specialized Packaging Group
July 15, 2009 - PaperWorks Industries today said that it has agreed to a merger with The Specialized Packaging Group.
The combined company, according to PaperWorks, will form an integrated packaging business that will rank as the third largest integrated company in the coated recycled board market and among the top ten folding carton companies in the U.S.
Terms of the deal were not disclosed.
The combined company will be owned by an affiliate of Sun Capital Partners.
PaperWorks, which operates mills in Philadelphia, PA, and Wabash, IN, produces about 300,000 tons of 100 percent clay-coated recycled paperboard annually. It serves the frozen foods, household goods, oral care, beverage, and general purpose folding carton industries.
The Specialized Packaging Group operates five facilities in North America, including London, Ontario, Baldwinsville, NY, Greensboro, NC, Kansas City, KS and Lenexa, KS. The company targets medium to long runs of paperboard packaging for high-end graphically complex products in the following consumer products segments: dry laundry detergent, oral care, surface care, personal care, home storage and pet care.
“The merger is an exciting step in the evolution of PaperWorks, a growing operation we built over the last ten months through the purchase of our two mills,” said Thomas Garland, President and CEO of PaperWorks, who will have the same role in the combined company.
Carlton L. Highsmith, president and CEO of The Specialized Packaging Group, will serve as Vice Chairman of the combined company.
SOURCE: PaperWorks Industries