Australia-based packaging company Amcor has signed an agreement to acquire Indonesia-based flexible packaging business Bella Prima Packaging for around A$27m ($25.1m).
According to Amcor, the purchase price represents seven times CY2013 earnings before interest, taxes, depreciation, and amortization (EBITDA).
Amcor managing director and CEO Ken MacKenzie said the acquisition of Bella Prima will enable the company to broaden its product portfolio in attractive end market segments.
"Indonesia is an attractive market for flexible packaging given its rising per capita income and changing retail formats," MacKenzie added.
At present, Amcor has one flexibles packaging plant in Indonesia and the acquisition is said to be complementary to the existing operations.
Bella Prima, which reported sales of around A$30m ($27.9m) in CY2013, has two plants in Jakarta specializing in the high growth shrink sleeve, label and lidding business.
