Australia-based packaging solution provider Amcor Ltd. has purchased U.S.-based privately owned perform and PET bottle manufacturer Encon for $US55 million and will bring into its rigid plastics business arm.
In a statement, Amcor said Encon – which operates four manufacturing sites, including a large Dayton, Ohio operation that produces most of the company’s preforms – generates revenues of around $US110 million a year.
“This acquisition provides an excellent opportunity to acquire a well capitalized business at an attractive price. Given the manufacturing overlap, the acquisition will deliver considerable operating synergies and generate strong returns for shareholders,” Amcor CEO and managing director Ron Delia said in a statement.
Amcor specialises in supplying a range of rigid and flexible packaging products to the food, beverage, healthcare, home and personal care and tobacco packaging industries.