Seydaco is a folding carton producer in Canada covering the bakery, confectionery and foodservice markets. It has three plants: in Mississauga, Ontario; St.-Hyacinthe, Québec; and Xenia, Ohio, and the deal is expected to close in Q4 2017.
Michael Doss, president/CEO, Graphic Packaging International, said the transaction is in line with its strategy to pursue acquisitions that grow its folding carton volume in attractive geographies and end-markets.
In turn, this will improve its cost position and increase its mill to converting plant integration levels.
Seydaco generated revenues of approximately $40m and low double digit EBITDA margins on an LTM basis.
"We are delighted to join Graphic Packaging. Our employees and customers will benefit from this transaction,” said David Seychell, president, Seydaco.
“Our history of providing high-quality, value added packaging and speed to market combined with their strong, global position will bring added value to the paperboard packaging marketplace."