Pro-Pac Packaging has bought Eco Food Pack Australia
June 19, 2013
National packaging group, Pro-Pac Packaging (PPG) has bought Eco Food Pack Australia for an undisclosed amount, according to a statement to the Australian Securities Exchange (ASX) today.
PPG plans to relocate and integrate Eco’s existing infrastructure to provide distribution synergies.
“The purchase of the Eco business is a strategic acquisition into the food packaging industry and provides a very good fit for our business and customer base to broaden the product range into a market segment that we are focussing on,” PPG CEO Brandon Penn says.
Sydney-based Eco develops and sells food packaging trays for fresh meat, seafood and poultry industries.
Fresh food processors use the company’s tray range to pack retail product sold at major supermarket chains in the fresh meat, seafood, poultry aisles.
Eco’s annual revenue is about $12 million.
The acquisition will reportedly be funded from a combination of the group’s existing bank facilities and internal cash flows.