AkzoNobel Packaging Coatings is set to sell its flexible packaging adhesives and ink media business to Polytech International.
The company's Pure-Flex business specialises in solvent-based, solvent-free and water-based laminating adhesive and ink media technologies for the European and South African packaging film converting industries.
AkzoNobel BU managing director AB Ghosh said the agreement is a good outcome for all stakeholders.
"Following a strategy review, it has been decided the flex-pack adhesives business no longer fits within our product portfolio. Transferring adhesives and ink media activities to a new owner is the best way forward for the business," Ghosh said.
According to AkzoNobel, Polytech has operated as a toll manufacturer for Pure-Flex for many years, and is familiar with the portfolio and business.
The company's association with the business is expected to ensure a smooth transition for customers.
The acquisition is set to expand Polytech's business portfolio into the food and flexible packaging market, while creating a platform for further growth.
MRi-Polytech group CEO Mark Dunkinson said: "The expertise of the transferring employees is renowned in the market place and the product portfolio is outstanding."
The MRi-Polytech group includes Polytech International and Quietstone UK.