US-based AptarGroup (ATR) has agreed to acquire Stelmi Group, a manufacturer of elastomer primary packaging components for injectable drug delivery, in a deal worth about €165m ($207m).
According to the dispensing systems supplier, the deal is expected to close in the third quarter of 2012 and will expand its offerings for the pharmaceutical industry.
ATR president and CEO Steve Hagge said the acquisition fits with the company's long-term strategy to enter new markets and applications and to seek out opportunities in the pharmaceutical and biotech industries.
"With this transaction, we are entering a new area which is primary packaging components used in the injectable drug delivery market. There is proprietary know-how in the formulation and manufacturing process surrounding elastomer primary packaging components for pharmaceutical applications," Hagge added.
Stelmi, which reported 2011 revenues of about €83m ($104m), operates two manufacturing plants in the Normandy region of France near Aptar's existing pharma facilities, and has a research and development centre near Paris.
The company has achieved earnings before interest, taxes, depreciation and amortisation (EBITDA) margins in the range of 21%-25% over the past three years.
AptarGroup manufactures pump dispensers for perfumes, cosmetics and pharmaceuticals, and dispensing systems for food and drinks.