Good Natured Products completes acquisition of Illinois-based sheet maker Ex-Tech Plastics
Canadian Plastics
Canadian Plastics Plastics ProcessesFirst announced in May, the deal includes all of Ex-Tech’s operating assets along with real estate owned by a related company, ETP Inc.
Vancouver-based bioplastics maker Good Natured Products Inc. has completed its acquisition of Ex-Tech Plastics Inc., an extruder of rigid plastic sheets headquartered in Richmond, Ill., for US$14.1 million.
First announced in May, the deal includes all of Ex-Tech’s operating assets along with real estate owned by a related company, ETP Inc.
Founded in 1982, Ex-Tech produces a variety of plastic sheet and film products, including extruded roll stock for thermoformed packaging. Ex-Tech operates seven different extrusion lines in a dedicated 75,000-square-foot facility. The company’s customers serve a diverse set of end markets, including retail, food, and medical packaging, and are primarily located in the midwestern and southwestern U.S.
“We’re very pleased to announce the completion of this acquisition and welcome everyone at Ex-Tech to the ‘good natured’ family,” said Paul Antoniadis, CEO of Good Natured. “Ex-Tech’s trailing 12-month revenue of approximately CAD$33 million for the period ended Dec. 31, 2020, will significantly accelerate our revenue growth for the back half of this calendar year.”
Ex-Tech, which generated revenue of approximately US$25.8 million for the calendar year ended Dec. 31, 2020, has the capacity to produce compostable PLA and plant-based PET roll stock to support organic growth and conversion of existing and future petroleum-based acquisition targets. Good Natured reported “minor customer overlap” between Ex-Tech and Integrated Packaging Films, which was acquired in December 2020, with the potential to open additional cross-selling opportunities.
The acquisition is Good Natured’s third in the past year: in March 2020, it bought Brampton, Ont.-based Shepherd Thermoforming & Packaging Inc.; and in December it acquired Ayr, Ont.-based extrusion sheet maker IPF Holdings Inc.
Founded in 2006 and formerly known as Solegear Bioplastic Technologies Inc., Good Natured is a plant-based products and packaging company that designs, produces, and distributes bioplastics for use in packaging and durable product applications. The company changed its name to Good Natured Products in 2017.
