Taipak makes packaging for the beverage, coffee and tea, confectionery and dry foods sector among others.
Increase in demand
Following the acquisition, the company will be renamed Taipak, a TricorBraun Company.
Court Carruthers, CEO, TricorBraun, told BakeryandSnacks, it decided to move into flexible packaging after an increase in demand for the product.
“One of the reasons we have been successful for more than 100 years is our continued focus on evolving with the market to best meet the changing needs of our customers, he said.
“Over the last few years, we have seen increased demand for flexible packaging as customers look for new ways to differentiate their products in the market.
“We are committed to remaining at the forefront of meeting all our customers’ packaging needs, and excited to be adding such a strong flexibles option to our packaging offering.”
Growth by acquisition
Taipak's current owners Joey Lin and Charanjit Hayre will continue to manage the business.
"The acquisition continues our dual path to grow by acquisition, as well as organically," added Keith Strope, executive chairman, TricorBraun.
TricorBraun manufactures glass and plastic containers, closures, dispensers and tubes with more than 40 facilities across North America; London, UK; Guangzhou, China; Hong Kong, and Mumbai, India.
According to Euromonitor, ‘Global Flexible Packaging: Winning Strategies in the Future Retail Marketplace,’ September 2017, flexible packaging leads the way in global retail consumer goods packaging, with unit volume sales set to rise by a CAGR of 3% between 2016 and 2021.
It claims flexibles will thrive in basic everyday goods such as noodles, rice, bread and coffee across Asia Pacific, Latin America and Africa.
“The number one pack type, flexible plastic, will primarily provide affordability in staple goods and snacks, such as confectionery, savoury snacks and biscuits. Pack sizing will be key in meeting increasing demand for portion control,” the report states.
It says stand-up pouches will contribute towards pack functionality seeing demand for on-the-go convenience and healthy snacking.