State of the Industry: Global Consolidation in Packaging

Blaige & Company research indicates that valuation levels are expected to increase in 2011 beyond those shown in Figure 2.

Conclusion

Continued consolidation is clearly the trend for the packaging sector. The evolutionary forces at play have eliminated all but a few dominant companies in glass and metal-based packaging, with fiber packaging not far behind. While plastic packaging is still highly fragmented, the results from Blaige & Company's new detailed Ten Year Consolidation Analysis indicate that in the past decade more than half of the top 50 companies in 2001 in key flexible and rigid packaging segments were eliminated through consolidation, or experienced a change in ownership (Fig. 3).