Silgan Holdings Inc. a supplier of rigid packaging for shelf-stable food and other consumer goods products, announced August 13 that it entered into a definitive agreement to purchase Portola Packaging, Inc., a manufacturer of plastic closures. This business, with sales of approximately $200 million in 2012, operates eight facilities in North America and Europe.
"We believe that the acquisition of Portola broadens our global closure franchise," says Bob Lewis, Silgan's executive vice president and chief financial officer. "Portola has a strong reputation as an innovator in closure design and operational leadership. As a result, we believe this acquisition will be highly synergistic with our existing closure business, while providing a broader platform to service our customers' market needs. In addition, we are excited about the opportunity to expand our relatively small European plastic closure presence through Portola's manufacturing facilities in the United Kingdom and Czech Republic."
The purchase price for the transaction is $266 million.
Silgan Holdings is a supplier of rigid packaging for shelf-stable food and other consumer goods products with annual net sales of approximately $3.6 billion in 2012. Silgan operates 81 manufacturing facilities in North and South America, Europe and Asia. Silgan is a supplier of metal containers in North America and Europe, and a leading worldwide supplier of metal, composite and plastic vacuum closures for food and beverage products. In addition, Silgan is a supplier of plastic containers for shelf-stable food and personal care products in North America.
