New Castle News
NEW CASTLE —
A national business with a Lawrence County facility is buying another firm that previously had a plant in the community.
Silgan Holdings Inc., based in Stamford, Conn., is acquiring Portola Packaging Inc. The purchase price was reported to be $266 million.
Both companies are involved with the production of packaging material for food and other products. Silgan has a plant in Neshannock Township and Portola Packaging had a site in Shenango Township.
“We believe that the acquisition of Portola broadens our global closure franchise,” said Bob Lewis, Silgan’s executive vice president and chief financial officer, in a prepared statement. He indicated Silgan is particularly interested in Portola’s manufacturing facilities in the United Kingdom and Czech Republic.
Silgan, a publicly traded packaging company, posted closure sales of $181.4 million — but that includes both metal and plastic products. According to a recent market study, there are 100 to 150 U.S. companies making caps and closures, and Silgan is in the top six.
Portola had emerged from Chapter 11 bankruptcy in 2008.
The deal involving the two firms is scheduled to close as early as September.