US-based paperboard packaging company Southern Champion Tray (SCT) has acquired Evergreen Packaging as part of efforts to strengthen its portfolio.
Under the terms of the deal, SCT has bought substantially all of Evergreen’s assets for an undisclosed sum.
Based in La Mirada, California, Evergreen provides packaging solutions for a wide range of markets, including bakery, deli, foodservice and wholesale.
The company primarily operates in California.
The acquisition is intended to allow SCT to better serve its West Coast customers and expand its range of fibre-based products and packaging solutions.
SCT president Brian Hunt said: “This acquisition makes a lot of sense for SCT and Evergreen customers.
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“With SCT’s expanded product offerings, broader array of packaging options and a business model that focuses on great packaging and distinctive customer service, we are confident that the transaction will be positive for our customer partners.
“Similarly, the SCT team sees this as another opportunity to demonstrate that serving is a privilege.”
The acquisition comes after SCT bought all the assets of Honeymoon Paper Products, a packaging company based in Fairfield, Ohio, in June 2020.
Founded in 1960, Honeymoon supplies packaging for the supermarket and retail bakery, deli, foodservice and wholesale sectors.
SCT is also entering the final stages of construction of a 320,000ft² manufacturing facility in Chattanooga, Tennessee.
Hunt said the site will be ‘highly automated’ and create 156 jobs, for which SCT is currently recruiting.
The company invested $84.9m in the facility’s development in August 2020.
Based in Chattanooga, SCT supplies paperboard packaging to markets such as bakery, foodservice, frozen foods, supermarket, institutional, medical, pharmaceutical, personal care, cosmetic, retail and electronics.
The company will retain its office, manufacturing and distribution facilities in Chattanooga, Fairfield and Mansfield, Texas, after the deal with Evergreen closes.