Leading global packaging group Amcor has announced the acquisition of the flexible packaging operations of Jiangsu Shenda Group in China for RMB350 million (c. €44.5m).
The acquired business has sales of approximately RMB440 million and two plants in the Jiangsu province in Eastern China – two-thirds of it sales are to the pharmaceutical, snacks and culinary end markets.
Following the acquisition Amcor will be in a market leading position in Eastern China, with strong positions in both film manufacturing and conversion.
“Continued strong growth in consumer spending makes China one of the most attractive markets globally,” says Amcor managing director and CEO, Ken MacKenzie.
“Amcor has a strong and successful position in the Chinese flexible packaging market with nine plants, covering all the key regions and sales of over A$400 million (c. €285.8m).
“This acquisition establishes Amcor as the market leader in Eastern China, a region that represents approximately 40% of China’s GDP.”
The Jiangsu Shenda Group business, MacKenzie adds, is a strong fit with Amcor’s existing operations and offers “considerable” synergy opportunities.
