Aptar Group has made a binding offer to acquire CSP Technologies, a packaging solutions provider and a unit of global investment firm Wendel, for an enterprise value of $555m.

Aptar-Newsroom-627x378

Image: Aptar is based in Illinois, US. Photo: courtesy of AptarGroup, Inc.

CSP Technologies is engaged in providing integrated, active desiccant and product protection technologies for the pharma and food service markets. It has two manufacturing sites in the US and one in France.

A definitive stock purchase agreement is planned to be signed by Aptar to acquire CSP Technologies, once the French works council consultation process is completed.

Planned to be completed in the fourth quarter of this year, the proposed transaction will be subject to customary closing conditions, including regulatory approvals.

Aptar Group president and CEO Stephan Tanda said: “This strategic transaction meets our disciplined criteria for acquiring companies with strong positions in attractive markets, proprietary technologies, solid margins and robust growth fundamentals.

“Similar to Aptar, CSP Technologies has an innovative culture with intellectual property that drives product development and enables highly engineered solutions, including their three-phase polymer technology.

“They are also experienced in navigating the relevant regulatory environments and have highly automated visual inspection and quality control systems, and analytical performance testing of individual products.”

The acquisition is a part of Aptar’s efforts to become more competitive and customer-centric business.

Separately, Aptar reported increased sales to $711m for the quarter ended 30 June 2018 compared to $618m in the previous year.

For the third quarter, the firm expects earnings per share to be in the range of $0.90 to $0.95 compared to $0.83 per share in the prior year. This excludes potential restructuring expenses and effects associated with the purchase of CSP Technologies.

Earlier this year, AptarGroup acquired French beauty packaging solutions provider Reboul from Vacheron Industries for €14m.

Aptar provides a range of advanced dispensing solutions to the customers in the beauty, personal care, home care, prescription drug, consumer health care, injectables, food and beverage markets.

Based in Crystal Lake of Illinois, the company operates manufacturing facilities in North America, Europe, Asia and South America.