RockTenn acquires GMI Group, producer of corrugated, clamshell and other food packaging, will integrate company into its food service packaging unit; acquisition includes four U.S. box plants
December 9, 2011
RockTenn Co. has acquired GMI Group comprising Corpak Inc., Foil Laminating Inc. and Varipak Inc., which produces corrugated pizza boxes, microflute clamshells, lids, film and foil laminates, various media sources reported.
The acquisition, which closed on Oct. 28, will integrate the GMI units into RockTenn’s food service packaging unit of its corrugated packaging and recycling group, expanding its geographic presence, according to a Nov. 15 report on am1050.com.
The acquisition includes six manufacturing and distribution facilities located in Atlanta; Knox, Indiana; Plymouth, Indiana; St. Louis; and Tulare, California, am1050.com reported.
According to a RockTenn fiscal fourth-quarter earnings conference call presentation, the acquisition includes four box plants, and the acquired company generates about $100 million in annual revenues and consumes 94,000 tons per year of rollstock.
GMI Group was founded in 1964 and produces packaging for direct food contact, according to a news release from Deloitte Corporate Finance LLC, which served as the exclusive financial advisor to GMI.
According to the company website, Norcross, Georgia-based RockTenn has annual net sales of about $10 billion and has about 26,000 employees and 245 facilities in North America, Chile, Argentina and China.
The primary sources of this article are am1050.com, Plymouth, Indiana, on Nov. 14, 2011, and RockTenn’s conference call presentation on Nov. 10, 2011.