Licaplast Industries Emballages Inc has acquired M’Plast Inc, a Montréal-based manufacturer and converter of polyethylene products.
No financial terms were disclosed.
Founded in 1988 by Roger Damdjee, M’Plast makes and converts polyethylene film into bags or u-film for use in horticulture, agriculture, industrial and other markets.
Licaplast, a Montréal-based producer of flexible plastic packaging, said the acquisition provides additional capabilities that will help it meet the requirements of Canadian and U.S. customers.
Licaplast was recapitalized last year by Charter Oak Equity, a U.S. private equity firm, and Fonds de solidarité FTQ, a Canadian development capital firm.
Licaplast Industries, a Charter Oak Equity and Fonds de solidarité FTQ Portfolio Company, Acquires M’Plast Inc.
MONTREAL, Sept. 16, 2019 /CNW Telbec/ – Licaplast Industries – Emballages Inc. (“Licaplast”), a portfolio company of Charter Oak Equity, LP (“Charter Oak”) and Fonds de solidarité FTQ, is pleased to announce the acquisition of M’Plast Inc. (“M’Plast”). Montreal-based M’Plast, founded by Roger A. Damdjee in 1988, specializes in the manufacturing, impression and transformation of polyethylene film into bags or U-Film for a range of end markets, including horticulture, agriculture and industrial uses. M’Plast’s capabilities include recyclable and degradable plastic solutions.
“I’m thrilled that Licaplast represents such a close fit with our company values and culture, including technology-oriented solutions, innovative practices and customer satisfaction,” said Roger A. Damdjee, former President, M’Plast Inc. “The combination of our respective strengths will provide continuity to M’Plast’s success story”.
To Licaplast, a vertically-integrated producer of flexible plastic packaging, including shrink film, laminated roll stock and pouches, M’Plast’s Lachine facility represents a complimentary set of capabilities that better answer the needs of its growing customer base. The combined company will be a fully integrated extruder, printer and converter serving a broad array of customers in the US and Canada.
Paul Roughan, Charter Oak Managing Partner, remarked, “We are excited to add M’Plast’s employees and customers to the Licaplast family. The two businesses are well-suited to capitalize on each other’s strengths in order to better serve the combined customer base.” Zubin Avari, Charter Oak Managing Partner, added, “The acquisition of M’Plast builds the Licaplast platform and broadens the end markets served. With the addition of M’Plast and a new extruder and printer on order we will more than double our capacity allowing us to better serve our customers.”
Licaplast CEO Joseph Nawar commented, “The acquisition of M’Plast further develops Licaplast’s unique value proposition as a fully integrated partner to its customers. M’Plast’s culture of service and dedication to quality make it an ideal fit with Licaplast.”
For his part, Jean Wilhelmy, Senior Vice-President for Investments, Private Equity, at the Fonds de solidarité FTQ said, “M’Plast’s capabilities and reuse of production waste enhance Licaplast’s efforts to develop and manufacture packaging products with a reduced environmental impact. Such an approach is essential to meeting the needs of the customers in any sector.”
Headquartered in Montreal, Licaplast is a vertically-integrated producer of flexible plastic packaging, including shrink film, laminated roll stock and pouches, for food and beverage customers in the US and Canada. Founded in 1988, Licaplast serves a diverse set of customers by leveraging best in class operations, product development and customer service capabilities.
M’Plast is a manufacturer and converter of polyethylene products for customers in a range of sectors across North America. Located outside of Montreal in Lachine, QC, M’Plast’s specialized capabilities include heavy duty bags and large roll stock.
ABOUT CHARTER OAK
Charter Oak Equity and its predecessor funds have invested in private equity since 1992. Charter Oak focuses on niche manufacturing, packaging, medical products & services, specialty chemicals, consumer products and financial services companies up to $150 million in enterprise value. To date, over $500 million in control-oriented capital has been invested in 30 portfolio companies through over 50 acquisitions.
ABOUT THE FONDS DE SOLIDARITÉ FTQ
The Fonds de solidarité FTQ is a capital development fund that channels the savings of Quebecers into investments. With $15.6 billion in net assets as at May 31, 2019, the Fonds has helped create and maintain 215,104 jobs. The Fonds has 3,126 partner companies and 694,357 shareholder-savers.
For further information: Contact information for reporters: Joseph Nawar, CEO, Licaplast, Phone: 514-335-9309, Email: Joseph.Nawar@LicaPlast.com