Memphis, Tennessee, USA, 22 August 2011 -- /PRNewswire/ -- International Paper (IP) and Atlas Holdings today signed a definitive agreement to combine their consumer packaging solutions businesses, pending regulatory approval and other customary closing conditions. As a result of the agreement, Shorewood Packaging and AGI World, two leading global specialty packaging companies, will become AGI-Shorewood, creating one of the largest and most innovative specialty packaging businesses in the world, with operations in North America, Europe, Asia, Australia, and Latin America.
"For more than a decade, Shorewood Packaging has been an important part of International Paper and has made many contributions to our company, particularly through leadership in innovation and creative services for customers," said Tom Kadien, senior vice president of International Paper's Consumer Packaging and IP Asia businesses. "By merging Shorewood with AGI, our employees and our customers will have many more options and opportunities in the future, and we will continue to be a strong partner in those efforts," he said.
"We are excited about this combination, bringing together two businesses with great legacies and creating a new global leader with unparalleled capability to serve the world's premier consumer product, media and entertainment and tobacco companies," said Andrew Bursky, chairman of Atlas Holdings. "We are committed to building the new AGI-Shorewood around the needs of our customers, providing innovation, efficiency and exceptional service through an unrivaled network of global packaging and creative service facilities."
Once the transaction is complete, the new company will employ nearly 4000 people and will operate 24 manufacturing facilities around the world. In addition, AGI-Shorewood will be strategically focused on its key consumer packaging, media and entertainment, and tobacco packaging markets, which include beauty and personal care, cosmetics and fragrance, healthcare and pharmaceuticals, consumer electronics, golf, confectionary and specialty foods, tobacco, and specialty gravure.
"AGI and Shorewood are an excellent fit," said Mike Ukropina, currently president, Shorewood Packaging, who will lead the new AGI-Shorewood organization as president and CEO. "Both companies are made up of extremely talented people who are unrivaled in customer focus and also share a deep commitment to safety, a drive for continuous improvement, and a belief in helping people grow and succeed."
The merging of Shorewood with AGI reflects Atlas' investment strategy of purchasing and successfully transitioning divisions of larger corporate parents into strong independent companies.
Upon closing of the transaction, Atlas will own 100% of the combined AGI-Shorewood business in the United States and International Paper will own a 40% interest in the combined AGI-Shorewood business outside of the United States. The various regional transactions are expected to close before the end of 2011.
International Paper (NYSE: IP) is a global paper and packaging company with manufacturing operations in North America, Europe, Latin America, Russia, Asia, and North Africa. Its businesses include uncoated papers, industrial and consumer packaging, and distribution. Headquartered in Memphis, Tennessee, the company employs about 60,000 people in more than 20 countries and serves customers worldwide. Net sales in 2009 totaled more than USD 23 billion. For more information about International Paper, its products, and stewardship efforts, visit internationalpaper.com.
Shorewood Packaging is a leading value-added provider of high-quality creative, printing and packaging products that help customers enhance their brands in the global marketplace. Shorewood serves a diverse range of customers in the home entertainment and tobacco industries, in addition to healthcare, cosmetics and fragrances, candy and confectionary, beverage, distilled spirits, sporting goods, and private label customers in the consumer products industry. Shorewood Packaging has multiple manufacturing facilities in North America, Europe, and Asia. To learn more about Shorewood and its products and services, visit shorewoodpackaging.com.
Atlas Holdings LLC is an industrial holding company and investment firm with operations in the United States, Canada, and Europe. Its businesses are engaged in a broad spectrum of industries, including food and agriculture, building materials and wood products, pulp and paper, packaging, distribution, energy, capital equipment, and industrial business services. Atlas specializes in the purchase of middle-market companies, via carve-outs and corporate divestitures. Atlas works closely with its operating partners and management teams to build strong stand-alone companies that can sustain long-term success. Visit www.atlasholdingsllc.com to learn more about Atlas Holdings.
AGI World is a specialized global packaging company that makes innovative packaging products for the entertainment, music, video game, technology and telecom, and personal care industries. AGI employs about 1500 employees with 11 manufacturing facilities and six creative services offices in the United States, United Kingdom, Austria, France, Ireland, Germany, Poland, The Netherlands, and Australia. Visit www.agi-world.com for more details about AGI and its products and services.