Graphic Packaging Acquires Artistic Carton Mill, Converting Facilities
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Atlanta-based Graphic Packaging Holding Co. has announced that it reached an agreement to acquire substantially all the assets of Artistic Carton Co. through a subsidiary, subject to standard closing conditions. Artistic Carton, which has divisions in Auburn, Indiana, and Elgin, Illinois, is a diversified producer of folding cartons and coated recycled paperboard (CRB).
Artistic Carton includes one CRB mill, located in White Pigeon, Michigan, with annual production capacity of about 70,000 tons and two converting facilities located in Auburn, Indiana, and Elgin, Illinois.
Artistic Carton generated $63 million in revenue during the twelve months ended June 30, Graphic Packaging reports in a news release announcing the acquisition. The business is expected to generate approximately $10 million in annualized earnings before interest, taxes, depreciation and amortization (EBITDA), including anticipated synergies over the next 12 to 18 months. The transaction is expected to close in the third quarter of 2019.
“We are pleased to announce the acquisition of Artistic Carton as it will provide compelling optimization and growth opportunities for our paperboard mill and converting platforms in North America,” says Graphic Packaging President and CEO Michael Doss. “The acquisition will drive converting end-market diversification, enhance our converting platform, and we expect will allow us to deliver significant synergies driven by paperboard integration, mill and converting manufacturing optimization, and supply chain efficiencies.”
Source: Recycling Today
