Sonoco has completed its previously announced its acquisition of flexible and plastic packaging films manufacturer Clear Lam Packaging for $170m.
The acquisition was initially announced last month.
Founded in 1969, Clear Lam is expected to achieve sales of nearly $140m this year. The company has two manufacturing facilities at Elk Grove Village and in Nanjing, China.
Sonoco executive vice-president and chief operations officer Rob Tiede said: “One of the main attractions for us was the opportunity to leverage Clear Lam’s expertise in modified atmosphere packaging, which comes from a strong base of material science knowledge when it comes to films, additives and adhesives.”
“Clear Lam has also developed new portion-control condiment packaging, peel-reseal films for fresh fruits and vegetables, forming films for healthy yoghurts, lidding films for fresh guacamole and several new packaging films that expand shelf life.”
Clear Lam focuses on the development and production of high barrier flexible and forming films which are used to pack different retailing products including perishable foods.
Clear Lam president and CEO James Sanfilipo along with other prominent staff of the company are expected to remain with the company while its financial results will be added to Sonoco’s consumer packaging segment.
In order to finance the transaction, Sonoco said it is using available credit facilities, including a new $750m bank credit facility.
In a separate announcement, Sonoco’s unit Sonoco ThermoSafe has introduced a new range of reusable, universal solutions called ChillTech for the pharmaceutical and biologics markets.
ChillTech is a pre-qualified range of 2°C to 8°C PCM systems that uses Zero Bench-Time technology to provide temperature control from two days up to six days for payloads from 4L to 40L.