Newton County Plant Acquired by Canadian Company
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Canada-based Cascades Inc. has acquired a manufacturing plant in Newton County. The green packaging and tissue products manufacturer says the deal involves the Urban Forest Products facility in Brook, which manufactures molded pulp protective packaging for the egg and quick service restaurant industries.
Rob Richards, general manager for what will now be known as Cascades Moulded Pulp-Indiana, tells our partners at The Times of Northwest Indiana the plant will continue to employ 80 workers and the acquisition will provide more capital for improvements and a greater possibility for growth.
Cascades also acquired a similar facility, Clarion Packaging in Iowa, as well as a majority interest in Falcon Packaging, which has locations in Ohio, Iowa and Georgia. The acquisitions totaled more than $37 million.
"These acquisitions give us the opportunity to improve Cascades’ position in the strategic fresh protein and food services packaging markets," said Mario Plourde, chief executive officer of Cascades. "They are also in line with our objective to expand our moulded pulp activities, which produce a recycled, recyclable, compostable and biodegradable packaging product that offers highly interesting opportunities against a backdrop of expanding interest in the circular economy."
Cascades says the three acquired companies have consolidated annual sales exceeding $110 million. Luc Langevin, chief operating officer of Cascades Specialty Products Group, says the acquisitions double the company’s production of molded pulp packaging.
"The quality of the acquired assets and their complementary geographical positioning with our existing plants that manufacture moulded pulp packaging will allow us to improve the service we provide to our customers, and support our innovation initiatives," said Luc Langevin chief operating officer of Cascades Specialty Products Group. "With four moulded pulp plants efficiently spread out across North America, Cascades will build synergy, improve the distribution of production volumes, and allow certain sites to specialize."