Founded in 1917, Better Packages is a leading packaging equipment manufacturer specializing in table-top water activated tape (WAT) dispensers used in carton and box sealing. Its product line includes both auto-dispensing electric machines that are used in high volume fulfillment centers, as well as manual dispensers for low volume users. BPI sells its products under the Better Packages and Better Pack brands, which are among the most recognized brands worldwide in carton sealing.
In 2003, Phil White, a senior executive at Better Packages, led a management buyout of the company from Swiss-based ASCOM Holdings AG. The new ownership group recognized that there was an enormous opportunity to build value around the Better Packages brand. After spending more than 10 years revitalizing the company and making it the leading WAT dispenser manufacturer in North America, the ownership group decided to unlock the value that had been built, while ensuring that BPI’s employees and this 98 year old company would be in good hands with a leading industry player committed to the Better Packages brand.
CMM ran a targeted auction process and approached a number of strategic buyers who had compelling rationales to acquire the company. Before approaching the market, CMM spent more than twp years with the Company and its management team preparing for the transaction, identifying key operational and organizational actions that would enhance value, and developing detailed financial support for BPI’s future growth. Key initiatives that were executed prior to the sale included relocating the factory to a modern facility and expanding the sales force to target key accounts in the rapidly growing e-commerce market.
Ultimately, the BPI owners chose Intertape Polymer Group (IPG), a leading North American manufacturer of reinforced and non-reinforced water-activated tape with headquarters in Montreal, Quebec and Sarasota, Florida. Phil White commented, “CMM worked with us for the last 2 years as we designed and executed a plan to sell the company. This work was the key to maximizing shareholder value and being in a strong position in the market to lead IPG into making our Ansonia facility the core of their WAT machinery business.” Terms of the all-cash deal to purchase stock were not disclosed. Phil White entered into a multi-year agreement to serve as general manager of the Better Packages business based in Ansonia, Connecticut.
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