Wayne’s Tekni-Plex is in the process of changing owners, as Genstar Capital is close to completing a deal to acquire the plastics processor from American Securities for around $1.5 billion, writes Don Loepp for Plastics News.
The news is not surprising, as American Securities has been looking for a buyer for the Chester County company. American Securities bought Tekni-Plex from Oaktree Capital Management nearly four years ago for an undisclosed amount. But reports at the time indicated that the deal was worth around $800 million.
Tekni-Plex provides a diverse mix of processes and products, such as PVC compounds, medical tubing, specialized film and sheet, and polystyrene packaging. The company’s brands include Colorite, Tri-Seal, Action Technology, and Dolco.
These are sold around the world to the medical, pharmaceutical, personal care, and food and beverage industries from Tekni-Plex’s sites spread across eight countries.
Tekni-Plex has sales of close to $800 million mostly from its plastics products. As the company has such a diverse mix of products, it was thought that the buyer would be another private equity firm not a strategic buyer.
Read more about the acquisition in Plastics News here.