Supremex, manufacturer of envelopes, and packaging and specialty products, has acquired Groupe Deux Printing (G2 Printing) and its related company Pharmaflex Labels, for $11.25m.
G2 Printing is a fully integrated manufacturer of folding cartons. Over a last-twelve-month basis, the firm has generated approximately $12m in annual revenues, including Pharmaflex.
Employing 60 people at two manufacturing facilities located in Laval, Quebec, Canada, the firm serves customers in the pharmaceutical and cosmetics industries.
Pharmaflex is a manufacturer of premium quality folding carton packaging and labels primarily for the pharmaceutical industry.
The transaction was completed on a cash-free and debt-free basis subject to customary adjustments for working capital and other items.
Supremex president and CEO Stewart Emerson said: “With packaging representing close to 30% of our revenues on a pro-forma basis, we are now one step closer to reach our 50/50 diversification objectives which are critical to our long-term success as the secular decline in the Canadian envelope market continues.
“The acquisition of G2 and Pharmaflex perfectly complements our previous packaging acquisitions and growing labels business.
“We can now provide a complete range of packaging solutions to the pharmaceutical industry including related inserts, leaflets and labels, essentially becoming a one-stop-shop for our growing multinational customer base in the pharmaceutical, cosmetics and food industries.”
The acquisition is a part of Supremex’s plan to further diversifies into packaging sector.
Supremex Folding Carton Business Development director Giancarlo Mirabelli said: “We are now delighted to be part of the growing Supremex family. With access to their manufacturing and distribution platform in Canada and the U.S., we expect to expand our reach and continue to grow.”
Employing approximately 865 people, Supremex operates facilities across seven provinces in Canada and three facilities in the US.