Graphic Packaging has agreed to acquire the assets of Seydaco Packaging and its affiliates, National Carton and Coating and Groupe Ecco Boites Pliantes.
Seydaco is a folding carton producer with an established position in Canada focused on the foodservice, food, personal care and household goods markets. Seydaco converts approximately 20,000 tons of paperboard annually and operates three converting plants located in Mississauga, Ontario, Saint-Hyacinthe, Québec and Xenia, Ohio.
The acquisition has been actioned through the group subsidiary operations Graphic Packaging International and Graphic Packaging International Canada. The deal is subject to standard closing requirements and is expected to close in the fourth quarter of 2017.
Graphic Packaging president and CEO Michael Doss said: ‘The announced transaction is consistent with our strategy to pursue acquisitions that allow us to grow our folding carton volume in attractive geographies and end-markets, improve our cost position, increase our mill to converting plant integration levels over time, and that we can close at compelling post-synergy EV/EBITDA multiples.’
David Seychell, Seydaco president, added: ‘We are delighted to join Graphic Packaging. Our employees and customers will truly benefit from this transaction. Our history of providing customers with high-quality, value added packaging solutions and our speed to market philosophy combined with their strong, global position will bring much added value to the paperboard packaging marketplace.’