Sealed Air Corporation (SEE) has acquired 100 percent shares of Fagerdala Singapore Pte Ltd, a manufacturer and fabricator of polyethylene foam, for approximately $100 million in cash. The sale is expected to close in October 2017.
Fagerdala, established in 1983 with headquarters in Singapore, is a one-stop manufacturer for protective packaging. It has 14 manufacturing facilities, employs more than 1,300 people in China, Thailand, Singapore, Malaysia, Mexico and US, and generated $80 million in sales in 2016.
Sealed Air plans to leverage Fagerdala’s manufacturing footprint in Asia, expertise in foam manufacturing and fabrication, and commercial organization to grow sales in the consumer electronics, medical equipment and devices, automotive, temperature assurance, and e-commerce fulfilment sectors.
“With the acquisition of Fagerdala, we will significantly expand our presence and manufacturing footprint in Asia. Fagerdala has unique vertically integrated operations in the Asian market that will allow us to expand their business beyond foam and offer our combined customer base a full portfolio of differentiated solutions, such as automated fulfilment systems and operational excellence consultative services,” said Kenneth Chrisman, president of Sealed Air’s product care division.