Beyond The Headlines: Univar Solutions acquires chemical solutions provider FloChem, GPI advances Waco paper mill
08 Sep 2023 --- This week in industry news, Univar Solutions acquired FloChem and Graphic Packaging International (GPI) announced it progressed in building a new US facility. Meanwhile, various clean energy projects were awarded funding from the UK government to boost the country’s economic growth and environmental goals.
In brief: Acquisitions
Univar Solutions acquired FloChem and certain of its affiliates, an “industry leader” in the distribution of chemicals and related dispensing systems in Eastern Canada. The acquisition gives the company access to new market segments, increased market position on key in-demand products and new service capabilities. FloChem distributes commodity and specialty chemical solutions from North American manufacturers, including caustic soda, hydrochloric acid, phosphoric acid, hydrogen peroxide, bleach and sulfuric acid.
Imperial Dade, a distributor of foodservice packaging supplies, industrial products and janitorial supplies, announced the acquisition of Supreme Paper Supplies. The transaction represents the 70th acquisition of Imperial Dade under the leadership of Robert and Jason Tillis, chairman and CEO of Imperial Dade, respectively. Financial terms of the private transaction were not disclosed. By leveraging Imperial Dade’s market-leading platform, Supreme’s customers can expect the same customized service coupled with a greater offering of products and solutions.
GPI’s Waco plant for recycled paperboard production.In brief: Facility updates
GPI announced plans in early 2023 to build a facility in Waco, US, and now reached a key milestone in its construction. The plant is dedicated to producing recycled paperboard and is slated to ramp up production in 2026. The Waco facility will leverage the industry’s most modern technology to produce recycled paperboard that will package everyday products ranging from cereal to pasta. The new paper machine is modeled after the company’s state-of-the-art machine in Kalamazoo, US, which came online in 2022 and reached full capacity within 12 months.
Stora Enso progressed with its restructuring actions aimed at strengthening the group’s long-term competitiveness and creating a decentralized and more customer-centric operating model. These actions would reduce the number of employees by approximately 1,150. The parts of the change negotiations completed so far, will result in a reduction of 710 employees. Stora Enso concluded the change negotiations at its Finish Sunila site and decided to close pulp production and lignin extraction permanently. The Sunila site has an annual capacity of 375,000 metric tons of long-fiber and 50,000 metric tons of lignin. Production at the site has been at a standstill since May and will not be ramped up. The closure will impact 240 employees. The pilot plant for bio-based battery material will continue its operations at the Sunila site.
Futamura, a manufacturer of environmentally sustainable cellulose films, casings and non-wovens, announced the recent opening of its state-of-the-art cellulose film production line at its European manufacturing plant in Wigton, UK. The investment underscores Futamura’s commitment to meeting the growing demand for its flagship range of renewable and compostable NatureFlex films. The new line is projected to enhance the facility’s production capacity by approximately 25%, thereby minimizing lead times and bolstering the availability of NatureFlex films in the market.
Futamura’s cellulose film production line.
In brief: Carbon reduction initiatives
A record number of clean energy projects were awarded funding from the UK government’s flagship renewables scheme, helping the UK grow its economy, achieve net zero, protect families and businesses from volatile global gas prices, and strengthen energy security. From the first annual Contracts for Difference round, 95 clean energy projects have succeeded with their bids – up from 93 in the previous round. The latest round had budget funding of £227 million (US$283 million) and has secured enough to power two million homes. Launched in 2014, the Contracts for Difference scheme ensures projects receive a guaranteed price from the government for the electricity they will generate.
As the EU initiates setting its 2040 Nationally Determined Contribution, the Corporate Leader Group (CLG) Europe called for an emissions reduction target of at least 90% net reduction in GHG emissions compared to 1990 levels. A CLG Europe position paper titled “Raising European Climate Ambition for 2040” builds on CLG Europe’s previous calls for ambitious target setting on decarbonization, and sets out why the EU needs to set a 2040 target which reflects the urgency of addressing the climate crisis and benefits of near term action while establishing a travel direction for a transition toward a climate neutral economy within the EU by 2050 with beneficial outcomes for climate, people and nature.
Jack Daniel’s new Bonded Rye Whiskey.In brief: Financial and trade show news
Danimer Scientific announced financial results for its second quarter which ended in June 2023. In the earnings announcement, Danimer chairman and CEO Stephen Croskrey noted the role of resins for flexible packaging in the company’s expanding portfolio. Danimer describes itself as a performance polymer company specializing in bioplastic replacement for traditional petroleum-based plastics.
The SleeveConnect project will be launched at the trade fair Labelexpo Europe, September 11-14 in Brussels, Belgium. SleeveConnect represents the “pinnacle of excellence” in shrink sleeve technology. The partnership showcases the synergy achieved through the collaboration of four industry giants: Emsur, a global leader in flexible packaging, Karlville, an industry leader in cutting-edge machinery, Siegwerk, a globally renowned provider of customized inks and coatings and SK microworks, a prominent name in film industry. Together, they have given rise to an ingenious packaging solution that facilitates bottle designs and ensures environmental sustainability.
In brief: Launches and releases
The Jack Daniel Distillery introduced Jack Daniel’s Bonded Rye Whiskey as the newest member of its Bonded Series. Available across the US, Jack Daniel’s Bonded Rye is a Tennessee Rye Whiskey bottled at 100 proof (50% alc. by vol.) and is the first rye whiskey from the Jack Daniel Distillery with the Bottled-in-Bond designation. With packaging inspired by the original design of the 1895 Jack Daniel’s Tennessee Whiskey bottle, Jack Daniel’s Bonded Rye will be available in 700 mL bottles for a suggested retail price of US$31.99.
By Natalie Schwertheim
