The acquisition of Phoenix Flexibles will help Amcor boost capacity to meet the continued high demand, drive strong returns for shareholders and allow local production of a wide range of more sustainable packaging solutions
Amcor to buy Indian flexible packaging firm Phoenix Flexibles. (Credit: Amcor plc)
Amcor, engaged in developing and producing responsible packaging solutions, has signed an agreement to buy India-based Phoenix Flexibles for an undisclosed sum.
Phoenix Flexibles operates a facility in Gujarat, India. The business generates revenue of about $20m annually from the sale of flexible packaging for food, home care and personal care applications.
At present, Switzerland-based Amcor has four flexible packaging facilities in India. The business has reported double-digit organic sales growth per annum over the last three years.
The Swiss firm is also investing to double its local footprint in the pharmaceutical and medical packaging categories.
The acquisition of Phoenix Flexibles will help Amcor boost capacity to meet the continued high demand and drive strong returns for shareholders.
It also adds advanced film technology, allowing local production of a wide range of more sustainable packaging solutions. The deal will allow Amcor to expand its product offering in high-value segments.
Amcor Flexibles Asia Pacific president Mike Cash said: “Amcor continues to see substantial opportunities to grow our flexible packaging business in India.
“With this acquisition, we are investing to maintain and build upon the significant momentum the business has delivered over several years.
“The scalable nature of the acquired facility, combined with the localization of new capabilities, further enhances our customer value proposition in this attractive high-growth market.”
The deal is expected to complete in the September 2023 quarter, subject to customary closing conditions.
In May this year, Amcor agreed to acquire New Zealand-based automated protein packaging machines manufacturer Moda Systems.
Moda Systems designs, assembles and supports high-performance modular vacuum packaging solutions for the poultry, meat, and dairy sectors.