US-based Loews Hotels subsidiary has signed a deal to purchase Consolidated Container Company (CCC) from Bain Capital Private Equity for around $1.2bn.
Subject to customary closing conditions, the proposed deal is set to be completed by the second quarter of this year.
Loews expects to fund the deal with around 50% cash-on-hand and 50% debt.
Upon completion of the deal, CCC will function under a newly-created division called Loews Packaging Group.
Loews president and CEO James Tisch said: “We have been analysing the packaging industry for some time because it fits our key acquisition criteria: It is a fragmented industry that generates strong cash flows and we believe it is unlikely to be subject to major technological disruption.
“CCC is an outstanding company with a highly professional management team that can serve as a platform for growth, both organically and through acquisitions.”
Headquartered in Atlanta, Georgia, US, CCC currently provides rigid plastic packaging solutions to various end markets, including the beverage, food and household chemical sectors.
With a network of manufacturing locations across North America, CCC reliably provides quality products to its customers.
The company specialises in customised mid and short-run packaging solutions and operates Envision Plastics, a recycled and compounded post-consumer resin business.
CCC currently has 57 rigid plastic packaging manufacturing facilities, two recycled resins manufacturing facilities across North America.