Jan 25, 2011. Rengo announces that Thai Containers Group, 30% owned by Rengo, signed an agreement with Malaysian company Golden Frontier Bhd, to acquire Alcamax Packaging Joint Stock Company, a corrugated box manufacturer in Vietnam. The total purchase price is approximately $25 million, including the existing debts and other expenses.
Rengo acquires Vietnamese corrugated plants
Jan 25, 2011. /Lesprom Network/. Rengo Co., Ltd. announces that Thai Containers Group, 30% owned by Rengo, signed an agreement with Malaysian company Golden Frontier Bhd, to acquire Alcamax Packaging Joint Stock Company, a corrugated box manufacturer in Vietnam. AP Packaging (Hanoi) Co., Ltd. and Packamex (Vietnam) Co., Ltd., both Alcamax subsidiaries, are also part of the acquisition. The total purchase price is approximately $25 million, including the existing debts and other expenses, as the company said in a press release received by Lesprom Network.
As a result of this acquisition, Rengo’s production bases in Vietnam are Vina Kraft Paper Co., Ltd. with an annual production capacity of 220,000 tons for producing containerboard, and three plants for producing corrugated board and boxes (Alcamax, AP Packaging, and the already affiliated New Asia Industries Co., Ltd.), strengthening their corrugated business in major markets in both the northern and southern parts in the country. Packamex is a corrugated box manufacturer in Ho Chi Minh City.
Both Alcamax and AP Packaging have integrated production plants that include corrugators and converting lines with a combined total production capacity of approximately 7.50 million square metres per month. When added to the existing capacity of New Asia Industries, the total monthly production capacity of Rengo in Vietnam will stand at 14.50 million square metres.
The acquisition is expected to be formally completed at the end of March.
