Printer News - September 2011
Prolamina Acquires Packaging Dynamics Business Unit
LAKE FOREST, Ill.—Prolamina Corporation announced that it has signed a definitive acquisition agreement to acquire certain assets and a defined book of business from Packaging Dynamics Corporation located in Kaukauna, Wisconsin. Financial terms of the transaction were not disclosed.
The acquisition will encompass Packaging Dynamics' extrusion laminating, 10-color printing, and converting business in Kaukauna. The additional customers and equipment will support Prolamina's focus on the food and medical packaging markets and its growing business pipeline. In particular, it will allow Prolamina to quickly begin producing additional, unique products for its customers. Key members of the operating management staff of the Packaging Dynamics unit will join the Prolamina team. All of the acquired Packaging Dynamics equipment will be relocated into Prolamina's new plant in Neenah, Wisconsin.
Harold Bevis, founder, chairman, and chief executive officer of Prolamina said, "This acquisition is good for both Prolamina and Packaging Dynamics. We are a specialist at this type of manufacturing and we will become even better. Likewise, Packaging Dynamics, through its Thilmany Papers business unit, is an expert at papermaking and we are entering into a supply agreement for a great source of quality papers. Prolamina will now become one of Packaging Dynamics' largest customers. We are also upgrading the acquired machines to be state-of-the-art and then reinstalling them alongside our new machines. As a result of these changes, we will now have a great footprint in the Midwest for high-end flexible packaging production."
Tim French, chief operating officer of Prolamina said, "Prolamina will now have a manufacturing footprint that includes three plants, 12 laminators, 13 printing presses, two graphics design centers, in-house metallization, and converting equipment that includes laser scoring/perforating and pre-formed pouch making. We have redundant production amongst the three operations and provide state-of-the-art supply certainty to our customers."
Completion of the transaction is expected in the third quarter of 2011.
Prolamina announced additional developments in its operations, which include:
• At its Neenah, Wisconsin plant, the company will also be installing a new wide-format F&K solvent-based press with GPS electronics for quick-changeovers, with scheduled delivery in January 2012.
• In Westfield, Massachusetts, it has modified its production equipment to manufacture state-of-the-art tobacco packaging.
• Prolamina announced that its plant in Terrebonne, Quebec had been certified with a "Superior" rating from AIB International, a widely recognized set of consolidated standards that contain the requirements for achieving superior food safety in manufacturing operations.
Eco-Friendly Inkjet Printing on Film
BLAUVELT, N.Y.—Schreiner MediPharm, a Germany-based global provider of specialty pharmaceutical labeling solutions, has developed a new label that allows plastic films to be inkjet printed with eco-friendly water-based inks. A water-absorbing coating is applied to part of the plastic label, allowing for subsequent marking with necessary variable data. The label design includes a laminate that is placed on top of the bar code after application to the glass container. This laminate protects the code from mechanical abrasion and disinfectants.
Increasingly, pharmaceutical products are marked by bar codes with variable contents. Inkjet printing is particularly well-suited for this purpose as it is a fast, cost-effective, and high-quality process. However, in the pharmaceutical industry, glass containers are often labeled with transparent films. Until now it was impossible to mark these with eco-friendly water-based inks since these inks do not properly adhere to plastic films.
For containers with particularly small diameters, Schreiner MediPharm also has developed a label version whose bar coded section slightly lifts for easy readability. This plastic specialty label allows pharmaceutical manufacturers to custom-print their products with existing inkjet systems without having to change their processes.
"Before now, using eco-friendly water-based inks for inkjet printing of this sort simply wasn't practical," says Gene Dul, president of Schreiner MediPharm U.S. "Our new solution causes water to be absorbed and, in addition, the printed information is not nearly as susceptible to being rubbed off, smeared, or partially dissolved due to contact with disinfectants."
Exopack's Knott to Join Sun Capital Partners
SPARTANBURG, S.C.—Exopack Holding Corp. announced that chairman and CEO Jack Knott has been appointed as a managing director of Sun Capital, a private investment firm specializing in leveraged buyouts and investments in market-leading companies.
Knott will resign from his position as chief executive officer but will remain chairman of Exopack's Board of Directors. Tom Vale, the company's president and chief operating officer, will serve as interim CEO.
"I am excited to join the Sun Capital team while remaining involved with Exopack," Knott said. "At this stage, Exopack has become a global market leader with a world-class management team and I am confident in the continued success of the company. I look forward to remaining chairman of Exopack at such an exciting time for the company."
"Jack Knott knows the packaging industry inside and out," said Bud E. Terry, senior managing director at Sun Capital Partners. "He and the management team have done an outstanding job building Exopack into a market leader with strong growth prospects by executing on an effective strategic roadmap centered on efficiency and innovation. Given Exopack's size and importance to the Sun Capital portfolio, Jack will continue to stay very involved with the company."
Multi-Color To Acquire York Label Group
CINCINNATI, Ohio—Multi-Color Corp. announced it has agreed to acquire 100 percent ownership of York Label Group to strengthen its leadership in the home and personal care, food and beverage, and wine and spirit label markets in North America and Chile.
The combined company is expected to have annual revenues of approximately $640 million at closing. This makes Multi-Color Corp. the largest label company in the U.S. and the fastest growing globally with revenues more than tripling since the beginning of 2008.
The approximate purchase price for York Label is $356 million, payable in debt assumed, Multi-Color stock, and cash. Closing is expected on or about October 3, 2011.
Nigel Vinecombe, Multi-Color Corporation president and CEO will continue as president and CEO. Diamond Castle representatives, Ari Benacerraf and Lee Wright will join the Board of Directors upon closing.
Shorewood Packaging, AGI World Merge
MEMPHIS, Tenn.—International Paper and Atlas Holdings have signed a definitive agreement to combine their consumer packaging solutions businesses, pending regulatory approval and other customary closing conditions. As a result of the agreement, Shorewood Packaging and AGI World, two leading global specialty packaging companies, will become AGI-Shorewood, creating one of the largest specialty packaging businesses in the world, (Continued on p. 39) (Continued from p. 36) with operations in North America, Europe, Asia, Australia, and Latin America.
"For more than a decade, Shorewood Packaging has been an important part of International Paper and has made many contributions to our company, particularly through leadership in innovation and creative services for customers," said Tom Kadien, senior vice president of International Paper's Consumer Packaging and IP Asia businesses. "By merging Shorewood with AGI, our employees and our customers will have many more options and opportunities in the future, and we will continue to be a strong partner in those efforts."
"We are excited about this combination, bringing together two businesses with great legacies and creating a new global leader with unparalleled capability to serve the world's premier consumer product, media and entertainment, and tobacco companies," said Andrew Bursky, chairman of Atlas Holdings. "We are committed to building the new AGI-Shorewood around the needs of our customers, providing innovation, efficiency, and exceptional service through an unrivaled network of global packaging and creative service facilities."
Mike Ukropina, currently president, Shorewood Packaging, will lead the new AGI-Shorewood organization as president and CEO. The remainder of the AGI-Shorewood leadership team will include:
• Mark Caines, currently CEO, AGI North America, as CEO, AGI-Shorewood North America,
• Tony Garnish, currently CEO, AGI Europe, as CEO, AGI-Shorewood Europe,
• Lucy Tzou, currently general manager, Shorewood Packaging and IP Foodservice Asia, as CEO, AGI-Shorewood Asia and Global Gravure,
• Don Eldert, currently CFO, Atlas Material Holding Corporation, as EVP and CFO, AGI-Shorewood.
"AGI and Shorewood are an excellent fit," said Ukropina. "Both companies are made up of extremely talented people who are unrivaled in customer focus and also share a deep commitment to safety, a drive for continuous improvement and a belief in helping people grow and succeed. I'm looking forward to the opportunities that lie ahead."
Upon closing of the transaction, (Continued from p. 39) Atlas will own 100 percent of the combined AGI-Shorewood business in the U.S. and International Paper will own a 40 percent interest in the combined AGI-Shorewood business outside of the U.S. The various regional transactions are expected to close before the end of 2011.
Resource Label Group Acquires Pamco Label
NEW YORK—First Atlantic Capital, Ltd., a private investment firm specializing in acquiring and growing mid-size companies, announced that its portfolio company, Resource Label Group, LLC, has acquired Pamco Printed Tape & Label Co., Inc., a Des Plaines, Ill.-based manufacturer of pressure sensitive labels serving consumer nondurable markets such as food and beverage, health and beauty, confection, and household products. Pamco is now a subsidiary of Resource Label and Michael Blechman, president of Pamco, remains in his current role.
"Resource Label is an expanding business and we are excited by the addition of Pamco, which will help Resource Label execute its growth plans," said Roberto Buaron, chairman and CEO of First Atlantic Capital. "Together, Resource Label and Pamco fit perfectly with our investment approach—taking majority stakes in companies with experienced management teams and a strong market position."
William Burch, CEO of Resource Label, said: "The acquisition of Pamco furthers our objective of becoming the premier one-stop shop for all of our customers' pressure sensitive label printing needs. Pamco will help us expand our product offerings and better position us to solve our customers' most complex service and application requests. Additionally, we plan to capitalize on Pamco's strong position in the markets they serve, and I look forward to working closely with Michael and the rest of his senior management team in pursuit of these goals."
Blechman added: "We are thrilled to be partnering with RLG. As part of a larger organization, Pamco will be better positioned to bolster its product line and serve its unique customer base."
Correction
In the TLMI Products & Services Guide that ran in the July issue of packagePRINTING, the Web site shown for Dow Industries on p. 20 was incorrect. The correct address is www.dowindustries.com. pP
