Chesapeake expands in North America
acquire Impaxx Pharmaceutical Packaging Group, which does business
as Arlington Press, for $65 million (€52.5m).
Arlington Press is currently owned by investment firm Impaxx and is a leading supplier of printed pharmaceutical leaflets in North America. The business will complement Chesapeake's strong position in Europe, according to the companies.
Arlington serves the pharmaceutical market with printed leaflets, pressure-sensitive labels and folding cartons and its current customers include eight of the 10 largest pharmaceutical companies operating in the US.
"This transaction strengthens our presence in North America and provides a platform to expand our global pharmaceutical packaging business," said Thomas Johnson, Chesapeake's chairman and chief executive.
"We are the leading European supplier of leaflets, labels and cartons to the pharmaceutical market, and Arlington's US pharmaceutical customer base and manufacturing capabilities complement our existing business," he added.
Johnson said the addition of Arlington Press would reinforce Chesapeake's position as a global supplier of pharmaceutical leaflets, which would help drive growth across the firm's entire range of pharmaceutical packaging.
The acquisition is expected to close within the next 60 days, and add to Chesapeake's earnings this year, noted Johnson.