Through the acquisition, ProAmpac will add Gelpac’s production capabilities and paper and poly products to enhance its capacity and diversify its product offerings across North America
ProAmpac to acquire Gelpac. (Credit: Matthias Böckel from Pixabay)
Flexible packaging and material science firm ProAmpac has agreed to acquire Gelpac, a multiwall paper and poly-woven packaging products maker, for an undisclosed sum.
The seller of Gelpac is an investor group led by NAMAKOR. The other members of the consortium are Groupe W Investissements and CDPQ.
Gelpac was established in 1956 and currently has six locations across the US and Canada.
The company offers a range of multiwall paper bag and polyethylene packaging options to cater to a diverse client base.
Through the acquisition, ProAmpac will add Gelpac’s production capabilities and paper and poly products to enhance its capacity and diversify its product offerings across North America.
Upon completion of the transaction, Gelpac will continue to operate out of its central office in Quebec, Canada.
Additionally, the combined company will serve clients in the high-growth food and beverage, agriculture, industrial and pharmaceutical end sectors.
ProAmpac vice chairman and CEO Greg Tucker said: “Gelpac shares ProAmpac’s commitment to serve customers across the US and Canada with high-performance, sustainability-focused flexible packaging solutions.
“Gelpac’s talented management team has a 20-year track record of working together to build this strong business, and I am delighted to welcome them to the ProAmpac family.”
ProAmpac uses its materials science-based expertise on fibre and film to provide sustainable flexible packagings.
The flexible packaging company serves the food, pet care, healthcare, e-commerce, retail, and industrial goods industries.
It has 46 locations worldwide and employs about 6,000 people who serve over 5,000 clients in 90 countries.
Gelpac president and CEO Alain Robillard said: “ProAmpac is the ideal partner for Gelpac’s continued growth and innovation.
“ProAmpac’s platform and capabilities will provide significant benefit to our customers and key partners as we continue to offer exemplary packaging solutions in the market.”
The deal is anticipated to close in the upcoming weeks, pending normal approvals and closing requirements.
Kirkland & Ellis and McMillan represented ProAmpac. Gelpac was represented by Bradley and Fasken Martineau DuMoulin with Mesirow as exclusive sell-side adviser.