Private equity firms seek acquisition opportunities in the folding carton and label industry
Private equity firms have aggressively entered the folding carton and label industry in recent years, seeking acquisition opportunities to expand market share. These companies hope to accelerate their growth by acquiring companies with industry experience and potential.https://www.risedongsheng.com/
Among them, Core Industrial Partners, a Chicago-based private equity fund, recently returned to the packaging industry. They acquired TCG Legacy, a commercial printing and packaging company, and MedLit Graphics, a packaging and labeling company. However, Core Industrial did not continue to build the TCG Legacy platform, and in 2022 renamed it MedLit Solutions and sold it to Resource Label Group. Then, Core Industrial announced an investment in Century Box, a Massachusetts-based folding carton maker, and less than a week later acquired Illinois-based folding carton maker General Converting.
This trend of private equity firms entering the folding carton and label industry has increased significantly over the past two years. The folding carton manufacturing market has started to heat up, so private equity firms have shown strong interest in the industry. At the same time, the number of independent companies in the label industry has been decreasing, as many owners have taken advantage of favorable market conditions to sell them to one of the private equity-backed aggregators.
In addition to Core Industrial Partners, other private equity firms have also actively participated in the move. Resource Label Group announced the acquisition of Coast Label in California, while Brook + Whittle acquired FlexoOne in Utah and purchased related online sales channels InStockLabels.com. Additionally, OMNI Systems acquired Honeywell's media business.
Overall, private equity firms are seeking acquisition opportunities in the folding carton and label industry to capitalize on opportunities in the market and expand their market share. This trend is expected to continue to grow in the coming years as these companies seek to acquire promising businesses to drive their business forward.https://www.risedongsheng.com/