Plastic packaging manufacturer Amcor has entered into an agreement to buy Australian flexibles packaging business Detmold Flexibles for $50m.
Following the transaction, the business will be integrated with Amcor Flexibles Asia Pacific.
The acquisition is subject to the Australian Competition and Consumer Commission (ACCC) approval and includes two plants operated by Detmold Flexibles in Melbourne that have annual sales of about $55m.
Amcor CEO and managing director Ken MacKenzie said from a strategic perspective Detmold Flexibles builds on the success of the 2012 Aperio Group acquisition.
"It enables the Australian flexibles business to strengthen their manufacturing centres of excellence with plants focussed on specific technologies and end market segments," MacKenzie added.
The acquisition is further expected to improve Amcor's ability to invest in both product and process innovation and enhance its customer value proposition in the Australian market.
