Pact Group has announced the purchase of New Zealand-based fresh food packaging company Flight Plastics for an undisclosed amount.
Flight is reportedly the only packaging company in the country with integrated polyethylene terephthalate (PET) recycling capability.
The company has the capacity to process more than 5,000t of recycled PET.
The addition of Flight to Pact’s portfolio will allow it to boost its recycling capability in Australia and New Zealand.
It will also help Pact to support New Zealand’s local circular economy by offering customers packaging containing up to 100% locally sourced food-grade recycled materials.
Pact managing director and CEO Sanjay Dayal said: “We have a vision to lead the circular economy. The acquisition of Flight is strongly aligned with our strategy.
“As an integrated recycling and packaging manufacturer, we have a special position in the plastics value chain. We have capability not only to recycle plastics but also to create demand for recycled materials through innovative packaging design and manufacture. Flight strongly complements and enhances our platform.
“We welcome the highly talented and committed Flight team to Pact. We are excited by the opportunity to leverage our combined strengths in leading change and growing the circular economy.”
Last week, Pact announced the official start of construction on a new recycling facility in Albury-Wodonga.
It is Australia’s largest PET recycling plant with the capacity to annually process around one billion PET plastic bottles.
Dayal added: “We are investing across our platform to develop the recycling capability our customers will need to deliver their 2025 sustainability commitments. Our target is 30% recycled content across our portfolio, which means we will need more than 60,000t of recycling capacity by 2025.”