Pacific Cup is involved in the manufacturing of paper cups and containers for quick-service restaurant chains

Karat

Karat by Lollicup has agreed to acquire Pacific Cup. (Credit: Gerd Altmann from Pixabay)

Karat by Lollicup has agreed to acquire US-based Pacific Cup to expand its operations in the region.

Since 35 years, Pacific Cup has been manufacturing paper cups and containers for quick service restaurant (QSR) chains and better meet their disposable product requirements.

Pacific Cup operates 20,000ft2 manufacturing and distributing facility in Kapolei, Hawaii.

The deal is expected to be completed in the first quarter of this year. Upon completion of the deal, Pacific Cup will operate under the name of Karat Packaging.

Karat by Lollicup already operates five distribution facilities across the US. Pacific Cup’s facility will become the company’s sixth distribution centre and third manufacturing facility.

Karat by Lollicup manages distribution centres in Washington, California, Texas, South Carolina and New Jersey.

The company has production lines in the California and Texas facilities for both paper and plastic products.

Karat by Lollicup stated that the strategic placement of warehouses enables the company to connect with more customers and provide better service.

The Hawaii facility will enable the company to serve the businesses located on the islands, which earlier not covered by the firm.

Karat Packaging, doing business as Karat by Lollicup, is a manufacturer and distributor of single-use disposable products.

The company supplies cups and lids, cutlery kits, hinged containers, microwaveable containers, portion cups, take out bags and personal protective gear to foodservice companies ranging from national chains to smaller family-owned restaurants.

In December 2020, packaging and foodservice products provider Novolex acquired US-based bag manufacturing company B&H Bag for an undisclosed sum.