Alpha strengthens plastics portfolio
specialist in plastic bottles for pharmaceutical and dietary
supplement products, for an undisclosed sum.
Alpha said the move was intended to support its 'aggressive' growth plans, put in place since it was part-bought by private equity player Stonebridge Partners. In late 2005, the firm also snapped up Pennsylvania plastic bottle outfit Yorkbridge Packaging Northeast. Alpha said its financial partnership with Stonebridge was a critical factor in its expansion, as it helped provide the capital investment needed to bring the plan forward. "With other consolidation taking place in the market, this deal makes sense in terms of both immediate sales opportunities as well as long-term growth objectives," commented Dan Creston, chief operating officer at Alpha Packaging. The Quality Container acquisition is the nest step towards the target of boosting Alpha's annual sales to $100m, according to the firm. Sales are in the region of $65m a year at present, with Quality Container bringing in around $18m in 2006. "This represents a strategic move for us, not only to expand our presence in pharmaceutical and nutritional packaging, but also to continue to enhance our footprint in every region of the country," said Dave Spence, Alpha's president and CEO. Alpha manufactures high-density polyethylene (HDPE) and polyethylene terephthalate (PET) bottles and jars for the personal care, pharmaceutical, nutritional supplement, and niche food and beverage markets. It operates four manufacturing facilities in St. Louis, Bethlehem, Pa., Jacksonville, Fl., and Salt Lake City, while Quality Container operates a plant in Ypsilanti, Michigan, with 144 workers on staff. Alpha also offers in-house package design services, mold-making, and custom tooling. The company has recently tripled its East Coast manufacturing presence by expanding its Pennsylvania plant, and recently opened a new 120,000 square foot manufacturing plant and stocking facility in Florida. Bringing Quality Container into the fold represents a regional expansion into the upper Midwest region. Quality Container's key management will remain to supervise the operations.
