Printer News - September 2011

Prolamina Acquires Packaging Dynamics Business Unit

LAKE FOREST, Ill.—Prolamina Corporation announced that it has signed a definitive acquisition agreement to acquire certain assets and a defined book of business from Packaging Dynamics Corporation located in Kaukauna, Wisconsin. Financial terms of the transaction were not disclosed.

The acquisition will encompass Packaging Dynamics' extrusion laminating, 10-color printing, and converting business in Kaukauna. The additional customers and equipment will support Prolamina's focus on the food and medical packaging markets and its growing business pipeline. In particular, it will allow Prolamina to quickly begin producing additional, unique products for its customers. Key members of the operating management staff of the Packaging Dynamics unit will join the Prolamina team. All of the acquired Packaging Dynamics equipment will be relocated into Prolamina's new plant in Neenah, Wisconsin.

Harold Bevis, founder, chairman, and chief executive officer of Prolamina said, "This acquisition is good for both Prolamina and Packaging Dynamics. We are a specialist at this type of manufacturing and we will become even better. Likewise, Packaging Dynamics, through its Thilmany Papers business unit, is an expert at papermaking and we are entering into a supply agreement for a great source of quality papers. Prolamina will now become one of Packaging Dynamics' largest customers. We are also upgrading the acquired machines to be state-of-the-art and then reinstalling them alongside our new machines. As a result of these changes, we will now have a great footprint in the Midwest for high-end flexible packaging production."

Tim French, chief operating officer of Prolamina said, "Prolamina will now have a manufacturing footprint that includes three plants, 12 laminators, 13 printing presses, two graphics design centers, in-house metallization, and converting equipment that includes laser scoring/perforating and pre-formed pouch making. We have redundant production amongst the three operations and provide state-of-the-art supply certainty to our customers."

Completion of the transaction is expected in the third quarter of 2011.

Prolamina announced additional developments in its operations, which include:

• At its Neenah, Wisconsin plant, the company will also be installing a new wide-format F&K solvent-based press with GPS electronics for quick-changeovers, with scheduled delivery in January 2012.

• In Westfield, Massachusetts, it has modified its production equipment to manufacture state-of-the-art tobacco packaging.

• Prolamina announced that its plant in Terrebonne, Quebec had been certified with a "Superior" rating from AIB International, a widely recognized set of consolidated standards that contain the requirements for achieving superior food safety in manufacturing operations.