Packaging materials manufacturer Sealed Air has agreed to sell its rigid medical packaging business to US private equity firm Mason Wells Buyout Fund III for approximately $125m.

Sealed Air president and CEO Jerome Peribere said that the company plans to invest in new innovations which are core to its market-driven business.

"Our rigid medical business has a strong global position but no longer presents a strategic fit for us," Peribere added.

Sealed Air mainly used thermoformed PET for rigid medical packaging. The company, whose core businesses include flexible packaging for food, protective applications, high-heat uses and other markets, said that it will continue in medical and pharmaceutical markets with flexible packaging.

The company will treat the sale as a discontinued business for accounting purposes. The transaction is expected to be completed in the fourth quarter of 2013. Sealed Air predicts its total sales to be approximately $7.7bn in 2013.