Additional Packaging announced the closure of the Middletown Coated Recycled paper Mill, affecting approximately 130 people
Additive Packaging Group, a global leader in sustainable consumer packaging, announced that its coated recycled paperboard manufacturing facility in Middletown, Ohio, will permanently close on or about June 1, 2025. The plant closure is part of a previously public plan to consolidate the production of recycled paperboard into new plants in Kalamazoo, Michigan, and WACO, Texas. The two new plants are expected to begin commercial production later this year. The closure of the Middletown plant is expected to affect about 130 employees.
Michael Doss, President and CEO of Plus Packaging, said, "I would like to sincerely thank the Middletown team, who have played a vital role in the growth and success of Plus Packaging. We are working closely with the affected employees to provide them with job placement assistance and support."
The closure of the Middletown plant will help advance the company's strategy to build a competitive advantage in paperboard manufacturing, while also promoting environmental improvements including water and energy efficiency. "Calgary Packaging's continued investment in innovation and execution capabilities has enabled us to become a global leader in sustainable consumer packaging," added Michael Doss, "Our investments in Kalamazoo and WACO are an important part of the value we provide to our customers, allowing us to produce the highest quality, most cost-competitive paperboard in North America." With the rapid completion of the WACO plant and the smooth transfer of inventory, now is the right time to further optimize our layout in the paperboard manufacturing sector."
Mondi announced the completion of the acquisition of Schumacher Packaging's Western European business
In Europe, Mondi announced that it has successfully completed the acquisition of Schumacher Packaging's Western European business. The deal, worth 634 million euros, was announced five months ago. The acquisition covers Schumacher's corrugated paper processing and solid board businesses in the UK, Belgium, the Netherlands, Luxembourg and Germany. The factory in Birmingham, UK has a Delta SPC 130 single channel inkjet printer from Goldbaut-Tex, which is specially used for the production of corrugated packaging. Germany is the largest part of the business, with two "state-of-the-art giant carton factories" in Ebersdorf and Graven.
Andrew King, Chief Executive Officer of Mondi, commented: "This acquisition significantly strengthens our presence in corrugated packaging, expands our reach in Western Europe and provides us with a strong vertical integration opportunity. I am very pleased to welcome my colleagues from Schumacher Packaging to Mondi. Together, we will expand our presence in e-commerce and FMCG, particularly in Western Europe. As more customers turn to more sustainable packaging solutions, we will have the opportunity to introduce Mondi's unique range of products to a broader customer base."
Last year, facing growing competition from large global groups many times its size, the Schumacher family announced a divestment strategy aimed at divesting its business, which has an annual turnover of about €1bn. Based on last year's figures, the acquired business had adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) of €66m. Mondi said that with the increase of new capacity in the German Piaget plant, this figure is expected to increase. In addition, the company expects to realize cost synergies of 22 million euros over three years.
Sineg announced the completion of the sale of TFP to Toppan Holdings
Seneca Corporation announced that it has completed the sale of its thermoforming and Flexible packaging (TFP) business to Japan's Toppan Holdings Corporation for approximately $1.8 billion. The transaction is cashless and debt-free, subject to customary adjustments. The sale could be announced as early as late December 2024. At the time, Seneca said the transaction marked the completion of its strategic review of the TFP business.
"Today marks a milestone in our strategy to transform Seneca into a leaner, stronger and more sustainable company," said Howard Cocker, President and CEO of the company. "We extend our sincerest wishes to the approximately 4,500 former TFP team members and their new letterpress team for all the best for the future. As previously communicated, we will use approximately $1.5 billion of after-tax cash proceeds to reduce the company's leverage. Seneca is moving forward with a focused business portfolio and an improved financial position that will enable us to further invest in developing our sustainable metals and fibre consumer and industrial packaging businesses."
Tokyo-based Toppan Holdings said the acquisition is "highly complementary" and combines Senegor's strong sales network, customer base and solution development capabilities with Toppan's global technical expertise and manufacturing capabilities. With standalone revenue of approximately $1.3 billion in 2023, Senor's TFP business serves a broad range of customers across multiple verticals, including food, retail and medical, and offers a variety of complex packaging solutions for high value-added categories such as snacks, condiments, healthcare, prepared foods, fresh produce, coffee and pet food, the company noted.
As part of the transition, the TFP business will now operate under the name Toppan Holdings, Inc., and its financial results will be reflected in the reporting of Toppan's Living and Industrial segments. Russell Grisette, who has more than 30 years of experience at Seneca, has been appointed CEO of the new company and will report to Masahiko Tatewaki, head of the global packaging business and managing Director of Toppan Holdings. Topplate said that under Grisette's leadership, the existing management team will remain in place to ensure business continuity. "The integration of Seneca's TFP business into the Toppan Group is an important step in enhancing our customer experience and delivering more complete solutions worldwide," said Masahiko Tatawaki. "We are very pleased to welcome the experienced and talented Seneca TFP team to the Toppan Group."
Grenadier Packaging acquires Kent More Packaging in the UK to further expand the group's presence
Grenadier Packaging has further expanded its business scope with the acquisition of Kent More Packaging, a specialist in folding cartons. Grenadier Packaging is owned by Grenadier Holding Company. Kent More Packaging was founded in 1906 and is headquartered in Staverley, Cumbria. The company focuses on products for customers in the food and beverage, home and beauty industries, including printed cartons, paper sleeves and trays. Its clients include Aldi, Lidl, Asda, Sainsbury's and Mars. The company, which has an annual turnover of £7.2m, joins Dean Packaging, Smith Packaging and Trenton Packaging as part of an expanding packaging group.
Ross Diamond, joint managing director of Grenadier Packaging, said the deal marked a significant step forward for the company. "Kentmore Packaging has built a remarkable business and we are committed to preserving its unique strengths while introducing new growth and investment opportunities," he said. "We look forward to working closely with the Kentmore Packaging team and its valued customers to build an even stronger future together."
Grenadier Packaging has completed the acquisition of Kent More Packaging from its shareholders. Nick Bramfitt, managing director of Kent More Packaging, will remain in his role. He said the Kentmore team is very excited to be working hand in hand with a team and senior management who share the same company values and vision for the future. "Grenadier Packaging's long-term strategy and investment philosophy presents an excellent opportunity for our team, customers and business to grow. This partnership allows us to continue to focus on what we do best, while unlocking new potential for innovation and growth."
Grenadier Packaging said the acquisition will enhance its presence in folding cartons and complement its existing carton and luxury packaging product lines at Trenton Packaging. This is also in line with Grenadier Packaging's broader growth strategy to expand its business capabilities in cardboard and corrugated packaging. Previously, Dean Packaging and Smith Packaging have provided industrial packaging and transport logistics packaging respectively. Trenton Dry's worldwide sales, including packaging, printing services, Paragon ID and Paragon, have reached €1.6 billion.
