Weekly Roundup: Walki licenses plastic reduction technology, Amcor teams with Moda vacuum systems

10 Jan 2020 --- This week in packaging, Walki Group entered into a license agreement with Smart Planet Technologies for the use of Earth Coating in several next-generation environmental packaging applications. Earth Coating is a plastic reduction technology providing superior performance and improved recyclability for all types of plastic, paper and paperboard packaging applications. Also, Amcor Flexibles North America announced a partnership with Moda vacuum packaging systems and Guala Closures consolidated its position in the beverage and water market with the acquisition of the assets of Closurelogic.

In brief: Partnerships
Walki Group, an international producer of engineered materials and protective packaging materials, licensed its Earth Coating plastic reduction technology to Smart Packaging Technologies. The license agreement is valid for the European markets and covers seven product application verticals, spanning from board packaging to flexible packaging. With this technology, Walki takes a big step towards a zero-waste future. Today above 80 percent of its products are made out of renewable or recyclable materials. Walki’s goal is to reach 100 percent by 2030.

Amcor Flexibles North America secured a partnership with Moda vacuum packaging systems. By combining Amcor’s shrink bag and rollstock film for meat and cheese with Moda’s system, producers can gain operational efficiencies and drive total cost savings. “Specifically for protein applications, meat processors can experience increased throughput up to 40 bags per minute, while reducing labor costs by 50 percent or more with Flow-Tite shrink rollstock and Moda equipment,” explained Don Schnabel, Senior Marketing Director at Amcor.

Evergreen Packaging, a global leader in plant-based packaging solutions, announced a partnership that brings together its fully renewable ice cream board, Stanpac Packaging and Oatly Non-dairy Frozen Dessert to provide a package that meets Oatly's focus on environmental responsibility and sustainability. Oatly Frozen, made from oats instead of cow's milk, switched to Evergreen Packaging's Sentinel Fully Renewable Ice Cream Board through its packaging converting partner Stanpac Packaging. Sentinel is a “first of its kind,” eco-friendly paper-based packaging made with an innovative renewable coating derived from sugarcane.Meat processors can increase throughput up to 40 bags per minute thanks to the Amcor Flexibles North America partnership with Moda vacuum packaging systems.

In brief: Acquisitions
Guala Closures, a world leader in the production of security closures for spirits and aluminum closures for wines, announced that its offer for the acquisition of the activities of Closurelogic, the German producer specialized in the aluminum closures, has been accepted. The cash-out for the whole operation is approximately €12.2 million. This deal will allow Guala Closures to “significantly increase its current negligible presence in the German market ... and allow the group further production capacity to serve new clients.”

CCL, a world leader in specialty label, security and packaging solutions for global corporations, government institutions, small businesses and consumers, signed a binding agreement to acquire Polish BOPP film producer Flexpol for an estimated US$22 million on a debt/cash-free basis. Sales in 2019 were approximately US$70 million, entirely focused on flexible packaging customers, with an adjusted US$3.7 million EBITDA. Closing is expected during the first quarter of 2020 following regulatory approvals; the new business will then trade as “Innovia Poland.”

Huhtamaki completed the acquisition of the assets and operations of Mohan Mutha Polytech Private Limited (MMPPL), a privately-owned flexible packaging manufacturer located in Sri City, Andhra Pradesh, India. MMPPL has approximately 160 employees and its net sales in 2018 were approximately €9 million. The debt-free purchase price was approximately €10 million. The business will be reported as part of the Flexible Packaging business segment as of January 10, 2020.

Macfarlane Group, a leading UK distributor of protective packaging, announced the acquisition of the business of Teesside-based Armagrip. Armagrip is a well-established protective packaging distribution business that focuses on customers primarily in the industrials sector across the North of England from its operating base in Chilton, Durham, and generated sales revenue of £1.6 million (US$2.1 million) in 2019.Oatly Frozen switched to Evergreen Packaging's Sentinel Fully Renewable Ice Cream Board through its packaging converting partner Stanpac Packaging.

TricorBraun acquired Minneapolis-based Packaging Solutions (PSI), a rigid packaging distributor serving several markets, including pharmaceutical, pet food and personal care. The acquisition bolsters TricorBraun’s position in the Minneapolis market, providing an additional warehouse for continued growth.

In brief: Miscellaneous
Avantium, a leading technology company in renewable chemistry, unveiled that its wholly-owned subsidiary, Avantium Renewable Polymers, signed a letter of intent to locate its new flagship plant at Chemie Park Delfzijl, the Netherlands. The 5-kiloton facility will produce plant-based FDCA (furandicarboxylic acid) – a key building block for many chemicals and plastics such as PEF (polyethylene furanoate). Avantium Renewable Polymers also entered into a letter of intent with a Regional Consortium relating to the financing of the FDCA flagship plant and associated costs for €30 million over the period to the plant’s completion in 2023.

Scientists at the Columbia Center for Children's Environmental Health (CCCEH) uncovered a link between prenatal exposure to phthalates – a ubiquitous group of plasticizers and odor-enhancing chemicals – and deficits in motor function in girls. Phthalates are easily unbound from plastics and released into the environment; most exposure is from diet, where they are part of food packaging.

Mondelēz International chocolate brand Milka launched limited-edition packaging featuring real-life images of its Alpine cows in five varieties. The labeling carries information about the names, breed, characteristics and origins of the cows in a bid to reinforce brand recognition.

By Joshua Poole