US corrugated packaging firm WestRock has agreed to acquire all the assets of New York-based Island Container and an affiliate named Combined Container Industries.
Island Container and Combined Container are independent producers of corrugated boxes, sheets and point-of-purchase displays.
WestRock is acquiring a corrugator and the corrugated converting operations situated in Wheatley Heights, New York. The deal also includes various associated fulfillment assets located in Saddle Brook, New Jersey.
Island Container and Combined Container have customers in cosmetic, pharmaceutical and food markets in the Northeastern US.
WestRock said it will pay total consideration in cash representing an EBITDA multiple of less than 4.5 times on a post-synergy basis. The deal is subject to customary closing conditions.
WestRock CEO Steve Voorhees said: “This acquisition will enable us to integrate more than 80,000 tons of containerboard into our corrugated packaging business.”
WestRock partners with its customers to deliver differentiated paper and packaging solutions. The company’s 45,000 team members support customers across the world from over 300 operating and business locations spanning North America, South America, Europe and Asia.
Earlier this month, WestRock completed the acquisition of several operations of U.S. Corrugated, which manufactures corrugated products for packaging and displays.
The company acquired U.S. Corrugated’s five corrugated converting plants in Ohio, Pennsylvania, and Louisiana.
WestRock has also acquired Multi Packaging Solutions International, whose differentiated product offering includes premium folding cartons, inserts, labels, and rigid packaging.
