Australian owned packaging company Detmold Group has reached an agreement with US-based Novolex to buy Heshan Innopak Co. Ltd.
The transaction is expected to be completed by the end of August.
Innopak is a subsidiary of the Burrows Paper Corporation, which was acquired by Novolex in December 2016.
Innopak manufactures a range of food wraps, paper takeaway, carry, and industrial bags, and food cartons in its
facility in Heshan, Guangdong, China.
Detmold Group, which employs over 800 people, has been operating in China for over 20 years and has a manufacturing facility in the Heshan area of China.
It will take over the Innopak operations and continue to manufacture at both sites, ensuring a seamless
transition for customers.
All Innopak staff will be offered employment by Detmold on comparable terms, including local Innopak management.
Detmold Group CEO Alf Ianniello said the acquisition is an important step in the company's continued growth in the Chinese market.
"Detmold Group’s global customers will benefit from the additional capacity and capability that this manufacturing expansion brings to our organisation," he said.
"We hope each of Innopak’s 120 staff take up our offer to continue their careers with Detmold Group.”
