USA – Mexican Coca-Cola bottler Femsa is in talks to sell a US packaging and food services business, Envoy Solution to private equity firms Warburg Pincus and Kelso and Co for about US$5 billion.
Envoy Solutions, based in Glenview, US, is a specialized distributor and solution provider serving the US market through distributors and specialty marketing solutions.
Its focus is on facility care, foodservice, packaging and marketing execution. With the support of its parent company, Femsa, Envoy Solutions says it can create value for its customers, vendors, employees and communities.
Mexico’s Coca-Cola bottler Femsa has over 30 subsidiaries that range from chemical and biological disposal to marketing solutions.
José Antonio Fernandez Carbajal, Femsa’s CEO, reportedly said in the company’s Q2 report of this year that “Envoy Solutions showed sustained revenue growth driven by recent acquisitions, assisting in the gross profit and income from operations increase.”
Femsa shares gained 3.5% in trading in Mexico City last week, making it the biggest intraday since May this year.
In February 2023, the company announced its intentions to review its strategy for non-core units.
The report also states that “consistent with its Femsa Forward strategy as communicated on February 15, 2023, it has entered into a definitive agreement to divest its minority investment in Jetro Restaurant Depot and related entities.”
Meanwhile, over the past two years, Envoy Solution has made some acquisitions to bolster its portfolio.
In February, the company acquired full-line distribution services company Mooney-General Paper (MGP) for an undisclosed sum.
Based in New Jersey, Mooney-General Paper provides equipment and supplies for industrial packaging, food service and food packaging, and sanitary maintenance.
The business specializes in both traditional and innovative solutions that are tailored to the specific requirements of the customers.
It has been a known supplier to regional industries and businesses in New Jersey, New York, and Pennsylvania for more than 12 decades.
Envoy also acquired completed the acquisition of US-based packaging distributor Delta Packaging & Supply for an undisclosed sum in January.
Based in Flowood, Mississippi, Delta Packaging & Supply offers flexible packaging materials, equipment and solutions to a diverse range of industries.
The company provides industrial packaging products, custom poly bags and film, tapes, strapping, machines and others in partnership with manufacturers.
In addition to these, Envoy also acquired Pennsylvania Paper & Supply Company, United Packaging, Sunbelt Packaging and Hughes Enterprises in 2022.
For all the latest packaging and printing industry news from Africa and the World, subscribe to our NEWSLETTER, follow us on Twitter and LinkedIn, like us on Facebook, and subscribe to our YouTube channel.
