Constantia Flexibles is being sold by investment firm Wendel to an affiliate of private equity group One Rock Capital Partners. The nearly 1.1 billion euro deal is expected to close in the second half of 2023, subject to customary regulatory clearances.
Constantia said last week that Paris-based Wendel had received “several binding offers” to acquire Constantia. Bloomberg reported news of a potential sale in the months leading up to the announcement. Constantia’s net sales in 2022 grew 21.9% year over year to $1.955 billion euros.
The sale comes more than eight years after Wendel took over Constantia, a more than 100-year-old Vienna, Austria-based company that describes itself as the world’s third-largest producer of flexible packaging, serving consumer and pharmaceutical markets. Constantia’s footprint spans multiple countries, including a U.S. manufacturing presence in South Carolina.
During that holding period, Wendel oversaw Constantia’s 11 acquisitions in 10 countries, as well as the 1.15 billion euro sale of its labels business in 2017, the companies said. Constantia’s acquisitions announced this year include Poland-based Drukpol Flexo and Hungarian printing specialist Lászlópack, which Wendel said added combined estimated annualized sales of 45 million euros in 2023. Constantia and Wendel also touted ESG advancements during their years together.
"In recent years under Wendel's ownership, Constantia Flexibles transformed its business performance, developed an innovative pipeline of more sustainable products and completed multiple acquisitions," said Pim Vervaat, CEO at Constantia. "With diverse geographic and end market presence, the company is well-positioned to continue expanding its suite of packaging solutions amidst regulatory developments and a changing climate, and we look forward to partnering with One Rock during this next chapter."
Kurt Beyer, a partner at One Rock, said in Monday’s announcement: "We believe our strategic and operational resources will complement management's efforts to pursue Constantia's growth initiatives while maintaining the standards of quality and service valued by its customers.”
Private equity deals continue to crop up in packaging industry M&A. The portfolio of New York-based One Rock includes approximately $5 billion in cumulative capital commitments, with holdings such as GPD Companies, which distributes polymer products and prime engineering resins, as well as Nestlé carve-out BlueTriton Brands, which owns bottled water brands such as Poland Spring and Deer Park.
