PE firm brings together Ampac and Prolamina to create new flexible packaging company

Wellspring Capital Management, a New York-based private equity firm, has acquired Ampac and is to merge it with existing portfolio business Prolamina to create a flexible packaging company with a strategic geographical footprint and enhanced product offering that is ‘unparalleled in the industry’.
Ampac and Prolamina merged

Ampac is a diversified global packaging company with 13 manufacturing centers in North America, Europe and Asia. Prolamina is a full-service supplier of technology-driven, innovative, flexible packaging, with multiple manufacturing facilities in North America. Wellspring Capital Management, founded in 1995, is a middle-market private equity firm that manages more than three billion USD of private equity capital. Its portfolio companies include: JW Aluminum, a producer of specialty flat-rolled aluminum products; National Seating and Mobility, a provider of customized wheelchairs and adaptive seating systems; and Qualitor, a provider to the automotive market.

The combined company of Ampac and Prolamina, which will be headquartered in Cincinnati, Ohio, will have a strategic geographical footprint and enhanced product offering described as 'unparalleled in the industry'. Ampac offers adhesive lamination, gravure printing and innovative packaging options, while Prolamina offers extrusion lamination and flexo printing. Their respective offerings are described as being ‘highly complementary’, and John E. Morningstar, a managing partner of Wellspring Capital Management who will lead the merged firm's activities in the packaging sector, said: ‘We are excited about the acquisition of Ampac and the combination with Prolamina to form a clear industry leader. The merger brings together two flexible packing industry leaders both known for innovation, customer service and quality. Both companies, along with their respective management teams, have a proven track record of performance and will pursue a variety of new initiatives to further enhance their product offerings - adding value to their customers' bottom line and increasing market opportunities.’

Greg Tucker, Prolamina CEO and who will assume the same role for the merged company, said: ‘The combination of Prolamina and Ampac's complementary capabilities and assets will enable the combined company to reach new levels of success, establishing it as a leader in the global packaging industry. I'm honored to lead a company with over 2,000 dedicated team members and 16 facilities worldwide with exceptional manufacturing scale to meet the growing needs of our valued customers. We are committed to providing creative packaging solutions, industry-leading customer commitment and award-winning innovation in a diverse global marketplace.’

Matthew Harrison, a principal of Wellspring Capital Management, added: ‘The acquisition of Ampac and its combination with Prolamina reflects the attractiveness of the global packaging industry. We believe there is increasing growth potential in the sector given the shift towards flexible packaging solutions driven by shifting consumer demands. We've been pleased to invest in this industry over the past several years and are excited to increase our participation through this expanded platform, which will serve broad and diverse markets.’