MM Packaging has made an offer to acquire the folding carton operations of Ileos SA, owned by funds of Oaktree Capital Management L.P. The company has five sites producing folding cartons for the pharmaceutical industry and two sites producing folding cartons for luxury articles and cosmetics. All sites are located in France. In 2014 sales amounted to approximately EUR 115 million; about 26,000 tons of cartonboard and 6,000 tons of paper were converted.
The union for KapStone Paper and Packaging Corp. mill workers will give the company a 10-day strike notice on Friday, a step legally required before a walkout can begin. Union leaders stressed that the notice does not necessarily mean a strike will start on day 11, but the move escalates tensions in contract talks that have been going on for more than a year. No further bargaining sessions are scheduled. “All options are on the table,” said Greg Pallesen, vice president of the Association of Western Pulp and Paperworkers. He declined to say exactly when or how long the union might walk out.
Colbert Packaging Corporation, a leading manufacturer of folding cartons, rigid setup boxes and paperboard specialty products, today announced that it has achieved the level of G7® Master in its manufacturing plants. G7 is an international standard for calibrating printing presses and proofing systems to a common visual neutral grayscale appearance. The G7 Master Qualification, which was awarded by Idealliance, signifies that Colbert Packaging possesses the knowledge and skills required to meet the G7 methodology in a graphic communications production environment. “This certification speaks to our commitment to protecting the integrity of our customers’ brands, and we’re pleased to have achieved it in our facilities,” said Jim Hamilton, president of Colbert Packaging. “With G7 in effect in our facilities, we know that the branded packaging we produce for our customers will match any branded materials produced by their other G7-qualified suppliers.”
GROUP360 Worldwide and Trident, a wholly owned subsidiary of Sonoco Products Company - industry leaders in providing concept-to-consumer creative, strategy and premedia/print production solutions for iconic, international consumer brands - today announced the forming of a joint venture company called We Are Alexander Global Brand-Building Solutions to provide seamless, global consumer products marketing and packaging solutions that ensure high-quality and consistent brand delivery around the world. Leveraging a combined 75-plus years of experience in the technical, intellectual and artistic crafts of concept-to-consumer creative, strategy, premedia/print production and colour management - together responsible for managing more than 250,000 packaging SKUs annually - We Are Alexander expands both companies' ability to service global brands at the local level with more than 900 employees located on five continents and capable of delivering in-market solutions to virtually every key market.
PaperWorks Industries announced on June 5 that it has agreed to acquire CanAmPac (Napanee, Ontario, Canada). The acquisition includes coated recycled board (CRB) producer Strathcona Paper, folding carton manufacturer Boehmer Box and LYFT Visual graphic services. Terms of the deal were not disclosed. Strathcona Paper is the largest producer of CRB in Canada. The company produces high-quality, clay-coated paperboard rolls and sheets in medium- to heavy-weight calipers. Boehmer Box is known for its high-quality offset-litho printed folding cartons for North American food packaging applications.
“Fiscal 2015 achieved 4% organic growth and a 2% of revenues improvement in margins to 21% core gross margin and 13% core operating margin. Core EPS increased to $3.20, up 50% over the prior year. We have seen benefits from prior year improvement and integration activities. Plus stronger cash flow and lower leverage positions us well to further develop our label markets,” said Nigel Vinecombe, President and CEO of Multi-Color Corporation. • Net revenues increased 15% to $810.8 million from $706.4 million in the prior year. • Gross profit increased $41.2 million or 31% compared to the prior year. Acquisitions occurring after the beginning of fiscal 2014 contributed $19.9 million to the increase.
Graphic paper manufacturer Parenco invests approximately one hundred million euros with its owner H2 Equity Partners in the conversion of its paper machine 2 (PM2). This machine was idled in 2009 by its then owner due to the declining demand of newsprint paper. After the conversion, PM2 will produce about 385,000 tons of packaging paper from mid-2016, intended for the production of corrugated board. With this investment, Parenco creates approximately sixty new jobs. The conversion of PM2 is a next step in the investment program at Parenco that started two years ago when investment firm H2 Equity Partners acquired all shares. At the time of the acquisition, Parenco was on the verge of closing its doors for good. In the past two years, paper machine 1 (PM1) has successfully resumed producing graphic paper for leaflets, flyers, and magazines.
Packaging Corporation of America (NYSE: PKG) announced today the appointment of Robert P. (Bob) Mundy as Senior Vice President and Chief Financial Officer effective September 1, 2015. Mr. Mundy will begin his employment with PCA on July 1, 2015. He has served as Verso Corporation’s Senior Vice President and Chief Financial Officer since 2006. Before that, he worked for more than 20 years with International Paper Company in various positions of increasing responsibility. Richard B. (Rick) West, PCA’s CFO since 1999, will remain an employee of PCA in an advisory capacity through his planned retirement date of March 1, 2016.
MeadWestvaco Corporation (NYSE: MWV), a global leader in packaging and packaging solutions, today announced a licensing agreement with Burgopak Ltd. MWV Healthcare will market Burgopak’s award-winning medication adherence packaging, serving the pharmaceutical and animal health markets in the United States. Patient medication adherence is a globally recognized challenge, with an estimated 50 percent of patients not taking their medication as prescribed. Collaborative action to address this challenge is growing rapidly across diverse corners of the healthcare sector, including within the pharmaceutical industry.
"Today we are welcoming Victory's team as the newest members of KapStone," stated Roger W. Stone, Chairman and Chief Executive Officer. "The Victory team has grown both revenues and adjusted EBITDA at an impressive 14 percent compounded annual growth over the past four years. Excluding significant new customer wins, the compounded annual growth rate for revenue and adjusted EBITDA has been consistently between five to seven percent. Victory will enhance KapStone's growth, profitability, cash flows, and returns to our shareholders."