Current trends and M&A activity in the Packaging Industry
Global packaging M&A showed a strong year-end M&A activity in terms of deal counts. More than 80 M&A deals were closed or announced, 10 more than in the previous quarter. Packaging is one of the winning sectors of the pandemic: stable industry in periods of overall market volatility, benefiting from e-commerce growth and packaging being an option for brand owners to differentiate their products at a high degree of activity through the third quarter with the 2021 deal count expected to exceed the last years. Growth is fueled by high consumer spending and increased eCommerce activity. Further, the macro trends of horizontal consolidation by extending the global network and vertical integration to improve supply chain positioning, are cause for high M&A activity. Volker Ruhl, Partner in the Frankfurt office, gives insights in this report and summarises the current trends as follows: “Shareholders of packaging companies are looking to capitalize on the strong current packaging M&A market and premium valuations.”
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