Atlanta, Georgia based Graphic Packaging International (GPI) last week announced that it has acquired Prairie Village, Kansas based Americraft Carton. As part of the deal, Graphic Packaging will acquire Americraft Carton’s seven converting facilities and a team of employees for $280M.
Americraft Carton offers all styles of paperboard folding cartons, including seal end, tuck top, reverse tuck, straight tuck, four and six beer trays, sleeves, simplex trays and end caps. The company’s folding cartons can also be integrated with special features such as windows, UV printing and coatings, embossing and foil stamping.
Americraft Carton also offers a range of other paperboard products such as display cards, clamshell insert cards, sleeves and bands, blister cards and security tags.
The proposed deal is expected to add around $200m in sales and $30 million in adjusted EBITDA, in addition to significant chances for paperboard integration. GPI has also stated that synergies may contribute an additional $10 million of adjusted EBITDA within four months of closing. The comapny reported a net income of $54 million for the Q1 of 2021, compared to a net loss of $13 million for the same period last year. GPI has also announced that its net sales have increased by three percent to $1.64 billion in the Q1 of 2021, compared to $1.59 billion in Q1 2020.
“Consumer preferences for sustainable packaging are driving global demand for fibre-based packaging solutions,” said GPI President and CEO Michael Doss. “We are meeting this demand by introducing new innovative products and supporting our customers as we answer the calls from today’s consumer. During the first quarter, we continued to deliver on our ambitious growth strategy, increasing net organic sales by two percent.”