Page 36 - Plastics News May 2021

Business news

Huhtamaki to buy Jiangsu Hihio- Berlin Packaging acquires plastic

Art Packaging assets packaging supplier Raepak

uhtamaki has agreed to buy assets of China-based S based Berlin Packaging,
HJiangsu Hihio-Art Packaging in a €27m ($32.5m) debt- Uthe world’s largest hybrid
free transaction. Jiangsu Hihio-Art manufactures paper bags, packaging supplier, has
wraps and folding carton packaging for international quick- announced tthe acquisition
service restaurants and national bakery chains. Following of Raepak Limited, a leading
the acquisition, Huhtamaki will have four manufacturing supplier of plastic packaging
units in China, located in Guangzhou, Shanghai, Tianjin and for the cosmetics and personal
Xuzhou respectively. The acquisition will allow Huhtamaki to care end-markets.Based in
increase its product portfolio in China and build its position Norwich, England, Raepak
as a foodservice packaging provider in Asia. Huhtamaki offers a wide variety of pumps,
Europe, Asia and Oceania (EAO) fibre foodservice president sprayers, dispensers, airless
Eric Le Lay said: “I am excited with the opportunities that bottles, tubes, roll-on bottles, and other packaging
this acquisition represents for our core business in China. containers and closures for the beauty industry. Raepak
“Middle-class expansion, urbanisation and innovation into has a wealth of innovation and design experience to
more sustainable packaging solutions all drive growth complement its product offering, which includes a
across Asia. “The acquisition of Jiangsu Hihio-Art Packaging
extends our product portfolio and access to new channels, range of recyclable and eco-friendly packaging. “The
enabling us to accelerate growth in China in line with our acquisition of Raepak will enable Berlin Packaging
strategy.” The deal is expected to be completed by the to further extend its offering in the cosmetics and
end of the third quarter of this year, subject to customary personal care sectors,” said Paolo Recrosio, CEO of
closing conditions. Once the deal is completed, Jiangsu Berlin Packaging Europe. “Raepak has strong customer
Hihio-Art will fall under Huhtamaki’s Foodservice EAO and supplier relationships and deep experience in the
reporting segment. Jiangsu Hihio-Art currently employs UK beauty sector, which will create significant business
around 200 people in its manufacturing facility in Xuzhou opportunities for our group.” “Raepak has experienced
city, Jiangsu. These employees will have the option to incredible growth over the last several years,” said
continue working for Huhtamaki after the acquisition. Last Andrew Peterson, Managing Director of Raepak. “We
are thrilled to be joining Berlin Packaging and believe
strongly this will benefit our employees, customers, and
suppliers.” “All 14 companies that Berlin Packaging has
acquired in Europe and the UK since 2016 add strategic
value to our enterprise with their product, geographic,
and end-use market expertise,” said Bill Hayes, CEO
and President of Berlin Packaging. “Raepak is no
exception, given the breadth of their plastic offering,
sustainability and design experience, and knowledge
of the beauty and personal care sectors in the United
Kingdom.” All Raepak employees and locations will
be retained. In March, Berlin Packaging expanded its
year, Jiangsu Hihio-Art reported almost €20m ($24.07m) UK portfolio by acquiring packaging company Roma
in annual net sales. Last May, the company partnered International. Based in Suffolk, Roma International
with international charity WasteAid for circular economy supplies nail polish bottles, containers and lids for
innovation. In their €900,000 ($1.1m) partnership, the two perfumes, skincare, aromatherapy and other personal
parties agreed to promote waste management solutions
at the community level in Vietnam, India and South Africa care products. It also offers products for luxury brands
over a two-year period. and high-end customers.

Plastics News May 2021 36