Packaging acquisition news : US consumer goods company Newell Brands has agreed to sell The Waddington Group, a packaging manufacturer to Novolex for around $2.3 billion.
Based in South Carolina, Novolex, which is backed by The Carlyle Group, provides paper and plastic packaging products.
Newell Brands is selling its global package manufacturing business as part of its accelerated transformation strategy, intended to create a simpler, quicker, robust consumer-focused portfolio of top brands.
Commenting on Novolex acquisition of Waddington Group, Michael Polk – CEO oof Newell Brands, said: “This mutually beneficial deal allows the Waddington team to unlock its full potential under a new owner who is committed to the packaging category, and provides Newell Brands the opportunity to take an important first step forward in our Accelerated Transformation Plan.”
The divested business – Waddington Group boasts of a global brand portfolio that includes Eco-Products, which provides green packaging solutions, Polar Pak containers, drink-ware and cutlery, serving ware, to go along with WNA upscale disposable plastic products among other brands.
Headquartered in Covington, Waddington Group supplies packaging and disposables for the foodservice, produce, bakery, deli and confectionery markets. Waddington Group has a footprint comprising 16 sites in the US, Canada, the UK, Ireland and The Netherlands while employing nearly 3,000 employees across the world.
Novolex, on the other hand, caters to the food service, retail, grocery, hospitality, industrial and institutional markets. Waddington Group is the eight acquisition for Novolex since 2012.
Stan Bikulege – chairman and CEO of Novolex, commenting on Novolex acquisition of Waddington Group, said: “This is a period of strategic growth and development at Novolex. Adding rigid plastic food packaging and an expanded range of sustainable packaging products have been key strategic priorities, and The Waddington Group has long been our top acquisition target.
“The company brings Novolex world-class product innovation, long-term customer relationships, and, most importantly, adds to our talented and dedicated team. We are excited to have Waddington CEO John Wurzburger and his team join the Novolex family.”
Novolex acquisition of Waddington Group is likely to be completed inside two months, based on meeting of customary closing conditions such as regulatory approval.
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