Huhtamaki has entered into an agreement to acquire the assets of Jiangsu Hihio-Art Packaging Co. Ltd., a leading manufacturer of paper bags, wraps and folding carton packaging in China. The company currently serves international quick-service restaurants (QSR) as well as national bakery chains.
Jiangsu Hihio-Art Packaging Co. Ltd. currently employs approximately 200 people in its manufacturing unit in Xuzhou city, Jiangsu. Employees will be offered an opportunity to continue to work for Huhtamaki after the transaction is closed. In 2020 the annual net sales of the privately owned business were approximately Euro 20 million. Following the acquisition, Huhtamaki will have altogether four manufacturing units in China: in Guangzhou, Shanghai, Tianjin, and Xuzhou.
The debt free purchase price is Euro 27 million. The acquisition is expected to be completed by the end of the 3Q 2021, following the fulfillment of certain customary closing conditions, after which the business will be reported as part of the Foodservice Europe-Asia-Oceania reporting segment.
Huhtamaki is a key global provider of sustainable packaging solutions.
