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BLOOMFIELD HILLS, Michigan, February 19, 2020 – TriMas (NASDAQ: TRS) announced today that it has signed an agreement to acquire the Rapak® brand, including certain bag-in-box product lines and assets from Liqui-Box, after the completion of its acquisition of DS Smith Plc’s Plastics Division. As a regulatory condition, Liqui-Box is required to divest certain of DS Smith’s bag-in-box product lines which overlap with Liqui-Box’s current product lines. In turn, TriMas agreed to acquire the Rapak brand name for its use globally, as well as bag-in-box product lines used in dairy, soda, smoothie and wine product applications.
“We are pleased to be adding the Rapak brand name and bag-in-box applications and products to TriMas’ packaging portfolio,” said Thomas Amato, President and Chief Executive Officer of TriMas. “This product adjacency allows TriMas to participate in this socially responsible trend of liquid packaging solutions, while also leveraging our strength in advanced closure and dispensing technology. This acquisition will also add to our diversified base of blue-chip customers serving dairy, soft drinks, liquid food products, wine and other beverage end markets.”
In addition to acquiring the Rapak brand name, certain dispensing innovation and aseptic application products and capabilities, TriMas will also obtain all global ownership rights for the Mustang® wine bag-in-box dispensing products. The Mustang product line features an innovative bag fitment with the lowest oxygen transfer rates in the market, and is ideal for wine and other bag-in-box packaging applications. In addition, the acquisition will include the Autokap™ and Stericap™ brands and product lines, and the capacity to manufacture IntaSept™ filling machine products.
In 2019, the product revenue related to the acquired Rapak bag-in-box and other products was approximately $30 million. TriMas will also be acquiring manufacturing facilities located in Indianapolis, Indiana and Union City, California, and a new facility in the greater Chicago, Illinois area. The transaction is expected to close in early 2020, and remains subject to Liqui-Box’s successful completion of its acquisition of DS Smith’s Plastics Division and other closing conditions.
About TriMas
TriMas is a global manufacturer and provider of products for customers predominantly in the consumer products, aerospace and industrial end markets, with approximately 3,400 dedicated employees in 11 countries. We provide customers with a wide range of innovative and quality product solutions through our market-leading businesses. Our TriMas family of businesses has strong brand names in the end markets served, and operates under a common set of values and strategic priorities under the TriMas Business Model. TriMas is publicly traded on the NASDAQ under the ticker symbol “TRS,” and is headquartered in Bloomfield Hills, Michigan. For more information, please visit www.trimascorp.com.
Notice Regarding Forward-Looking Statements
Any "forward-looking" statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, contained herein, including those relating to TriMas’ business, financial condition or future results, involve risks and uncertainties with respect to, including, but not limited to: general economic and currency conditions; material and energy costs; risks and uncertainties associated with intangible assets, including goodwill or other intangible asset impairment charges; competitive factors; future trends; the Company’s ability to realize its business strategies; the Company’s ability to identify attractive acquisition candidates, successfully integrate acquired operations or realize the intended benefits of such acquisitions; information technology and other cyber-related risks; the performance of subcontractors and suppliers; supply constraints; market demand; intellectual property factors; litigation; government and regulatory actions, including, but not limited to, the impact of tariffs, quotas and surcharges; the Company’s leverage; liabilities imposed by debt instruments; labor disputes; changes to fiscal and tax policies; contingent liabilities relating to acquisition activities; the disruption of operations from catastrophic or extraordinary events, including natural disasters; the potential impact of Brexit; tax considerations relating to the Cequent spin-off; the Company’s future prospects; and other risks that are detailed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2018. These risks and uncertainties may cause actual results to differ materially from those indicated by the forward-looking statements. All forward-looking statements made herein are based on information currently available, and the Company assumes no obligation to update any forward-looking statements, except as required by law.
CONTACT:
Sherry Lauderback
VP, Investor Relations & Communications
(248) 631-5506
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