Sonoco Purchases Graphic Packaging Corp.'s Flexible Packaging Division

Sonoco (Hartsville, SC) has signed an agreement to purchase the flexible packaging division of Graphic Packaging Corp. (Golden, CO), a wholly owned subsidiary of ACX Technologies, Inc., for $105 million. Completion of the purchase is expected in the third quarter.

The purchase will expand Sonoco's manufacturing capabilities and product offerings to include flexographic printing and multi-layer premade bags for the coffee and cookie markets. In addition, Sonoco's and Graphic Packaging's flexible operations provide complementary capabilities in rotogravure printing and both adhesive and extrusion lamination technologies that will enable Sonoco to serve new markets as beverage labels, coffee and personal care.

"This acquisition will add significant new and expanded North American capabilities to our current flexible packaging operations," said Peter Browning, president and CEO.

Graphic Packaging has flexible manufacturing locations in Vancouver, British Columbia; Winnipeg, Manitoba; Toronto, Ontario; Terrebonne, Quebec; Franklin, OH; and Charlotte, NC. Sonoco has locations in Morristown, TN; Edinburgh, IN; and Fulton, NY.

Edited by Christine Fraser