TOPPAN Holdings has finalised the acquisition of Sonoco Products Company’s Thermoformed and Flexibles packaging (TFP) business in the US for approximately $1.8bn, on a cash-free and debt-free basis.
The acquisition, which was announced in December last year, is expected to enhance TOPPAN’s global footprint in the sustainable packaging sector.
TOPPAN Global Packaging business head and TOPPAN Incorporated managing executive officer Masahiko Tatewaki said: “The integration of Sonoco TFP into the TOPPAN Group is a significant step to enhance our customer experience and provide our solutions on a global scale.
“We are extremely excited to welcome the experienced and talented Sonoco TFP team to the TOPPAN Group.”
The TFP segment is a prominent player in the thermoformed and flexible packaging market, providing solutions for a wide range of industries.
Specifically, it serves customers in sectors such as food, retail, and healthcare, with packaging solutions for snacks, condiments, and pet food. It also caters to fresh products, coffee, and healthcare items.
The integration of TFP complements TOPPAN’s existing operations by combining Sonoco’s sales network and customer base with TOPPAN’s advanced technical expertise and manufacturing capabilities.
With the formal completion of the transaction, TFP will now operate under the TOPPAN brand.
TFP’s financial results will be reported within TOPPAN’s Living & Industry segment, reflecting the integration of the business into the wider group.
Sonoco president and CEO Howard Coker said: “Today marks a milestone in achieving our strategy to transform Sonoco into a simpler, stronger and more sustainable company.
“We extend our best wishes for continued success to our approximately 4,500 former TFP teammates and their new TOPPAN team. As previously communicated, we are utilising the approximately $1.5bn of after-tax cash proceeds to reduce leverage.
“Sonoco is moving forward with a focused portfolio and an improved financial position that will enable us to further invest in growing our sustainable metal and fibre consumer and industrial packaging businesses.”
