That’s according to Piper Jaffray & Co.’s report, “Mergers and Acquisitions in the Packaging Industry-2004 Year in Review and 2005 Outlook.” Substantial consolidation is likely over the next few years, says author Doug Lawson, because of the following reasons: Packaging remains highly fragmented; packaging benefits from economies of scale; customer leverage is strong; customer service and innovation drive growth and profitability; substantial purchasing synergies exist; larger companies may enjoy access to lower-cost capital; and acquisitions are a means to provide profitable growth. Visit www.piperjaffray.com for more information.
M&A ACTIVITY TO REMAIN STRONG IN PACKAGING
A stable economic environment, favorable lending market conditions, and large amounts of equity capital available are among the factors that will keep merger-and-acquisition activity levels strong in 2005.
Jul 31, 2005
How Can You Honor a Leader?
Induction into the Packaging & Processing Hall of Fame is the highest honor in our industry. Submit your leader to be considered for the Class of 2024 now through June 10th. New members will be inducted at PACK EXPO International in Chicago
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