US – US-based cold chain packaging company TemperPack Technologies has entered an agreement to acquire sustainable packaging provider KTM Industries.
KTM offers design testing and fabrication services and operates facilities in Holt, Michigan, and Reno, Nevada.
The company serves the pharmaceutical, specialty food and nutritional supplement industries, providing eco-conscious and compostable alternatives for expanded polystyrene foam coolers.
The firm also claims its solutions have diverted more than ten million plastic-based coolers from landfills.
With this acquisition, TemperPack will be able to offer customers an expanded product line and increased market coverage.
Once the transaction is closed, the combined enterprise will have over 700 employees in four U.S. locations: Richmond, VA; Las Vegas, NV; Reno, NV; and Holt, MI.
The acquisition brings together two industry leaders in the development of renewable materials to compete with plastic foams and other harmful materials used in cold-chain and non-thermal, protective packaging.
As TemperPack integrates teams, systems, and operations, it will leverage the capacity and expertise at each facility to offer customers the right solutions to meet their needs.
In addition, the acquisition will facilitate the development of renewable materials that could compete with plastic foams and other environmentally harmful materials utilized in cold-chain and non-thermal, protective packaging.
“We are exceptionally pleased to bring together these two companies with disruptive technologies and complementary, high-performance products including ClimaCell and Green Cell Foam to serve the rapidly growing need for sustainable, protective materials,” said TemperPack’s Chairman and CEO, Bob Beckler.
“The strategic fit of TemperPack and KTM could not be stronger. We look forward to accelerating our growth and working together with the talented people of KTM.”
According to KTM President and CEO Tim Colonnese: “This is an exciting milestone for us, one that will create great opportunities to expand Green Cell Foam.
“We are fully aligned with the mission of TemperPack which is to provide engineered, protective materials that eliminate the need for synthetic foams which harm the environment.”
The deal is expected to close this month subject to customary closing conditions being met.
Earlier this year, TemperPack received US$140 million in an equity financing round led by Goldman Sachs Asset Management’s Sustainable Investing unit.
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