U.S. manufacturer to buy Alcan packaging unit: report
Elmwood Park, N.J.-based Bubble Wrap manufacturer Sealed Air Corporation is close to reaching a deal to purchase th...
August 22, 2007 by Canadian Plastics
Elmwood Park, N.J.-based Bubble Wrap manufacturer Sealed Air Corporation is close to reaching a deal to purchase the packaging assets of Montreal-based Alcan Inc., according to an Aug. 17 report by Reuters. The article cited unnamed sources close to the discussion, and said that the deal was valued at US$4 to 5 billion.
In July, London-based mining company Rio Tinto offered to acquire Alcan’s outstanding shares for approximately US$38.1 billion.
As part of the deal, Alcan agreed to divest Alcan Packaging. The packaging division employs 31,000 people in 31 countries, and serves the food, beauty, pharma and tobacco packaging markets.
“Alcan Packaging will have better opportunities for development and success following its divestiture and we will ensure a smooth transition for all involved,” said Alcan president and CEO Dick Evans while announcing the acquisition.
Reuters also noted that Neenah, Wis.-based flexible packaging company Bemis Company Inc. was interested in Alcan Packaging. The deal with Sealed Air is not yet final, and could be announced over the next few weeks, said the report.
In addition to its protective packaging lines, Sealed Air produces Cryovac-brand food packaging products. The company had revenues of US$4.3 billion in 2006, and has over 100 manufacturing facilities worldwide.