Schenegg, An International Supplier Of Consumer Packaging, Announced The Completion Of The Sale Of Its TFP Business To Toppan Holdings

Schenegg, an international supplier of consumer packaging, announced the completion of the sale of its TFP business to Toppan Holdings

On April 1, Senoco announced that it has completed the sale of its thermoforming and flexible packaging (TFP) business to Toppan Holdings Co., Ltd. of Japan for approximately $1.8 billion. The transaction is cashless, debt-free, subject to customary adjustments. The sale is scheduled to be announced as early as late December 2024. At the time, Senog said the deal marked the completion of its strategic review of the TFP business.

"Today is a milestone in our strategy to transform Seneg into a leaner, stronger and more sustainable company," said Howard Cocker, President and Chief Executive Officer. "We extend our best wishes to the approximately 4,500 former TFP team members and their new Toppan team and wish them all the best for the future. As previously communicated, we will use approximately $1.5 billion in after-tax cash proceeds to reduce the company's leverage. Senoco is moving forward with a focused portfolio of businesses and an improved financial position that will enable us to further invest in the development of our sustainable metals and fibre consumer and industrial packaging businesses. "

Tokyo-based Toppan Holdings said the acquisition is "highly complementary" and combines Senoco's strong sales network, customer base and solution development capabilities with Toppan's global technical expertise and manufacturing capabilities. The company noted that Senoco's TFP business, which had standalone revenues of approximately US$1.3 billion in 2023, serves a wide range of customers across multiple verticals such as food, retail and medical, and offers a variety of complex packaging solutions for high value-added categories such as snacks, condiments, healthcare, prepared foods, fresh produce, coffee and pet food.

As part of the transition, the TFP business will now operate under the name Toppan Holdings Co., Ltd., and its financial results will be reflected in the reporting of Toppan Lifestyle and Industrial Division. Russell Grissett, who has more than 30 years of experience at Senaco, has been appointed CEO of the new company and will report to Masahiko Tatewaki, head and managing director of Toppan Holdings' global packaging business. Toppan said that under Grissetter's leadership, the existing management team will remain in place to ensure business continuity. "The integration of Senoco's TFP business into the Toppan Group is an important step in enhancing our customer experience and providing better solutions on a global scale," said Masahiko Tatewaki. "

Founded in 1899, Sonoco Products Company (Snoco) is a diversified international supplier of consumer packaging headquartered in the United States, and is known as the world's largest can, tube and core packaging company. Founded in 1975, Sonoco Asia aims to provide markets and audiences in Malaysia, Singapore, China, Thailand, etc., with solutions tailored to the identity and needs of consumer brands, serving six major market segments: snacks and confectionery, powdered beverages, toddler needs, electronics, pharmaceuticals and construction.