Amcor, a global leader known for responsible packaging solutions, has recently made an announcement. The company, listed as NYSE: AMCR and ASX: AMC, is set to acquire Phoenix Flexibles. This strategic move aims to expand Amcor’s presence and capabilities in the rapidly growing Indian market.
Phoenix Flexibles operates a plant in Gujarat, India, generating approximately $20 million in annual revenue. Their expertise lies in flexible packaging used for food, home care, and personal care products. This acquisition complements Amcor’s existing four flexible packaging plants in India. Over the past three years, Amcor has achieved impressive double-digit organic sales growth annually, surpassing market expectations. Additionally, they are making investments to double their footprint in Pharmaceutical and Medical packaging.
The acquisition of Phoenix Flexibles comes with several advantages. It provides Amcor with a well-capitalized production facility strategically located in India. This instantly boosts Amcor’s capacity to meet the growing demand and deliver value to shareholders. Moreover, the acquisition brings in machine-direction oriented film technology, allowing for local production of a wider range of sustainable packaging solutions. This move aligns with Amcor’s commitment to eco-friendly practices and broadens their offerings in lucrative high-value segments.
Amcor’s Asia Pacific President, Mike Cash, expressed optimism about the acquisition. He emphasized the company’s dedication to seizing opportunities for growth in the Indian market. The scalable nature of the new facility, combined with the introduction of advanced capabilities, strengthens Amcor’s customer value proposition in this dynamic and high-growth market.
It’s important to note that the acquisition is subject to customary closing procedures and is expected to be finalized in the third quarter of 2023.
Amcor’s global reputation is built on their expertise in crafting responsible packaging for various sectors including food, beverage, pharmaceutical, medical, home, and personal care products. Collaborating with leading companies worldwide, Amcor aims to protect products, enhance brands, and improve supply chains. Their wide range of packaging solutions includes flexible and rigid packaging, specialty cartons, closures, and related services. Notably, the company is committed to producing packaging that is lightweight, recyclable, and reusable, while incorporating a growing proportion of recycled content. In the fiscal year 2022, Amcor’s dedicated workforce of 44,000 employees generated an impressive $15 billion in annual sales across 220 locations spanning 43 countries.