Flexible packaging supplier Bemis to acquire division of Alcan Packaging

07-Jul-09

US-based leading supplier of flexible packaging and pressure sensitive materials, Bemis Company, Inc., has agreed to acquire the Food Americas operations of Alcan Packaging, a business unit of international mining group Rio Tinto plc, for US$1.2 bln. As per the agreement, Bemis will acquire 23 Food Americas flexible packaging facilities in the U.S., Canada, Mexico, Brazil, Argentina, and New Zealand. These facilities supply single and multi-layer, plain and printed high-barrier plastic films, laminations, pouches, bags, lidstock and thermoformed trays for the food, beverage, meat and dairy industries. For the year ended December 31, 2008, Alcan Packaging Food Americas recorded net sales of US$1.5 bln and adjusted EBITDA of approximately US$166 mln. The transaction is expected to close by the end of 2009, subject to customary closing conditions and regulatory review. The acquisition will stand to bolsters Bemis' flexible packaging business with additional technologies, an expanded product offering, and operational synergies, the company said.