Novolex (formerly known as Hilex Poly) and Packaging Dynamics Corp. have combined to offer a broad and complementary range of paper and plastic flexible packaging products across foodservice, grocery, retail, food manufacturing, industrial and distribution end markets. The $1.9 billion revenue company will operate under the Novolex name and will be comprised of 35 manufacturing locations in North America, a plastic recycling facility, and more than 5,100 employees. The transaction is expected to close in the fourth quarter of 2014 after required regulatory approvals are received.
Wind Point Partners acquired Novolex in 2012, in partnership with CEO Stan Bikulege. Prior to joining Novolex, Stan served as the CEO of Exopack, a paper and plastic converting company, and Renaissance Mark, a label manufacturer. Earlier this month, Hilex Poly announced that its portfolio of branded product lines will begin operating under the new name Novolex, which will include Hilex Poly; Duro Bag; Fortune Plastics and Novolex Custom Film and Bag.
Packaging Dynamics is Novolex's third acquisition. The company cquired portions of the North American Flexible Packaging division of Amsterdam-based Clondalkin Group in 2013 and Duro Bag Manufacturing Company earlier this year.
Alex Washington, a managing director at Wind Point, said: "Our investment thesis was to build upon the strong operational platform of Hilex Poly and through acquisitions and organic growth to create a broader, more diversified flexible packaging leader. The addition of Packaging Dynamics is an ideal next step in that transformation."