The acquisition of Unicep Packaging will enable Silgan to expand and extend precision dosing dispensing capabilities and product offering into new and existing markets
Silgan has acquired US company Unicep Packaging. (Credit: Gerd Altmann from Pixabay)
Rigid packaging solutions provider Silgan Holdings has acquired US-based speciality contract manufacturer and developer (SCMD) Unicep Packaging for $237m.
Unicep Packaging is engaged in the development, formulation, manufacturing and marketing of precision dosing dispensing packaging solutions for diagnostic test components, oral care applications and skincare products.
The company mainly supplies its products to the customers in the health care, diagnostics, animal health, oral care and personal care markets.
With expected sales of around $45m and up to $18.3m in adjusted EBITDA this year, Unicep Packaging has two manufacturing facilities in Spokane, Washington and Sandpoint, Idaho.
Silgan Holdings president and CEO Adam Greenlee said: “Unicep is a clear leader in the rapid development and manufacturing of differentiated precision dosing dispensing packaging solutions for applications in health care, diagnostics and personal care.
“This acquisition further expands and extends our precision dosing capabilities and comprehensive product offering into new and existing markets.
“The Unicep team has combined a high-touch commercial philosophy with a proprietary operating platform to excel at meeting the unique requirements of their customers.”
Silgan anticipates realising tax benefits with a net present value of up to $35m as a result of the step-up in the tax basis of the assets from the deal.
The company has funded the purchase price for the acquisition with revolving loan borrowings under its senior secured credit facility.
With 112 manufacturing facilities in North and South America, Europe and Asia, Silgan supplies dispensing and speciality closures for food, beverage, health care, garden, home, personal care and beauty products.
Recently, Silgan acquired Gateway Plastics, which manufactures and markets dispensing closures and integrated dispensing packaging solutions.