Coveris has acquired the business and assets of German cast PP (CPP) film producer Gefo Folienbetrieb.
The European flexible packaging manufacturer said that the purchase of Gefo would enable it to expand its CPP film production capabilities.
It would also strengthen its position in high-growth applications including retort packaging, lidding films, bakery packaging, medical packaging, and other non-food sectors, Coveris said.
Prior to the acquisition, Coveris Kufstein was the company’s sole CPP extrusion site, operating at full capacity to meet growing customer demand.
CPP films are becoming an increasingly important material category within flexible packaging due to their recyclability characteristics and compatibility with mono-polymer structures.
CPP market growth
The European CPP market is expected to grow by around 3 per cent annually, according to the converter.
Highly technical segments such as retort, medical, and lidding applications are expected to grow by more than 4 per cent, mainly driven by sustainability requirements and the replacement of non-recyclable substrates.
“Gefo is an excellent addition to our existing network and further strengthens our sustainability strategy”, explained Christian Kolarik, Coveris chief executive.
“Demand for recyclable mono-material packaging continues to grow across Europe, making the expansion of our CPP capabilities for high-performance applications a logical next step.”
‘No Waste’ vision
Coveris said the investment further strengthened its recyclable packaging portfolio and supported the company’s ‘No Waste’ sustainability vision, helping customers align with upcoming EU Packaging and Packaging Waste Regulation and Extended Producer Responsibility requirements.
Last year, the company introduced mono-material packaging for its tortilla wraps. The new MonoFlex Thermoform film replaces non-recyclable mixed-material substrates and is claimed to ensure a long shelf-life.
The acquisition comes a couple of months after Coveris invested €1.8 million ($1.17m) in its manufacturing operations in Poland to expand capacity and improve production efficiency in central and eastern Europe.
The investment was directed towards new machinery and technologies at its sites in Rypin and Białystok, supporting output in food, pet food, and personal care packaging.
