Australian packaging firm Amcor has acquired US preform manufacturer Encon for $55m, in order to strengthen its rigid plastics business.
Encon presently serves Amcor's existing and new customers, generating around $110m from Amcor's beverage, food and household business units.
Encon operates at four manufacturing sites in the US, where it chiefly produces polyethylene-terephthalate preforms.
Majority of the firm's production is based out of its facility in Dayton, Ohio.
Amcor CEO and managing director Ron Delia said: "This acquisition provides an excellent opportunity to acquire a well-capitalised business at an attractive price.
"Given the manufacturing overlap, the acquisition will deliver considerable operating synergies and generate strong returns for shareholders."
In July, Amcor acquired Essel Propack's Packaging India (PIPL) for $26.4m, which was aimed at expanding its operations in South India.
In September, the firm had taken Souza Cruz's internal tobacco packaging business based in Cachoeirinha, Rio Grande do Sul, Brazil.
Amcor presently generates nearly $10bn in annual sales through its operations across more than 180 locations.
The firm maintains an expanded portfolio across 40 countries with more than 29,000 employees.
Amcor serves its customers through five business segments such as Amcor PET Packaging, Amcor Australasia, Amcor Flexibles, Amcor Sunclipse and Amcor Asia.
Image: Amcor manufactures corrugated boxes, cartons and PET packaging products. Photo: courtesy of nuttakit via freedigitalphotos.net.