Canada’s Transcontinental Inc. acquires Ultra Flex Packaging
Transcontinental Inc., said to be Canada’s largest printer, has acquired Ultra Flex Packaging Corp., a supplier of flexible packaging located in Brooklyn, N.Y.
Montreal-based Transcontinental – which bought Capri Packaging of Clinton, Mo., last year – will pay $80 million for Ultra Flex, which buys plastic film and sheet and converts them into flexible packaging, bags and pouches.
Ultra Flex employs about 300 people and generates approximately US$72 million in annual revenues.
The transaction is expected to close before the end of the fiscal year.
“This acquisition builds on our Capri Packaging acquisition last year and is part of our strategy to ensure our future growth path through diversification,” François Olivier, president and CEO of Transcontinental, said in a statement. “This latest acquisition expands our footprint in the U.S., gives us access to a national sales force, to new vertical markets and manufacturing capabilities. Once the acquisition has been completed, we will report annualized revenues of over $150 million in our packaging division. The three co-owners of Ultra Flex Packaging have agreed to stay on to ensure a smooth transition, provide continuity and support future growth. We are very optimistic of our growth prospects in this area and look forward to welcoming our new employees soon.”
Transcontinental has operations in print and digital media, flexible packaging and publishing.