Alpha
Packaging, a leading blow molder of plastic bottles
and jars for the pharmaceutical, nutritional supplement
and personal care industries, has just announced the
acquisition of Yorkbridge Packaging Northeast, a plastic
bottle manufacturer located in Bethlehem, Pennsylvania.
The purchase closed on December 21, 2005, and is Alpha’s
second acquisition in the Northeastern United States
in less than five years. It is also its first major
investment since the White Plains, N.Y.-based private
equity firm Stonebridge Partners took an equity stake
in Alpha one year ago. Alpha ended 2005 with $50 million
in sales; combined 2005 sales for Alpha and Yorkbridge
exceeded $60 million.
Alpha currently manufactures polyethylene
terephthalate (PET) and high-density polyethylene (HDPE)
bottles at three plants, and also makes bottles and
preforms from polymerized lactic acid (PLA) through
a marketing agreement with NatureWorks™ PLA. Its
PET bottles and jars range from 1 ounce to 32 ounces
with neck sizes ranging from 20mm to 89mm. Yorkbridge
specializes in smaller-sized packages, such as amenities
bottles for the hotel industry with 15mm, 18mm and 20mm
necks.
With the Yorkbridge purchase, Alpha acquired
a highly-efficient, state-of-the art plant housing ten
PET injection stretch blow molding machines. Currently,
Yorkbridge has 33,000 square feet devoted to manufacturing,
but Alpha plans to double the size of the plant to increase
capacity. Alpha expects that most of Yorkbridge’s
18 employees will remain with the company, including
John Melaney who will serve as Director of Operations
at the Bethlehem plant. Melaney has been with Yorkbridge
since 1988 and has been in the plastics industry for
35 years.
Dave Spence, Chief Executive Officer of
Alpha, says the Yorkbridge acquisition supports his
company’s continued growth in the health and beauty
market by allowing Alpha to expand quickly into smaller
sizes of PET packaging. “This is a segment we
have been interested in for some time now, as it supports
our position in the personal care market, and opens
up a variety of new opportunities with health and beauty
manufacturers,” he says. “These new capabilities
will help us continue to grow our customer base, enable
us to increase our custom mold-making activities, and
increase Alpha’s overall manufacturing capacity.”
Spence says the added benefit of increasing
Alpha’s East Coast presence was also very attractive,
and Yorkbridge’s modern facility offers a cost-effective
manufacturing environment given the present state of
utility costs.
As Director of Operations, John Melaney
will continue to work closely with the customers who
already purchase bottles made at the Bethlehem plant,
and will also help Alpha seek new opportunities in both
stock and custom packaging. “The synergies between
the two product lines mean we can be a full-line provider
to companies who need both large and small sizes of
PET packaging,” he says. “Alpha’s
distributor network will have a whole new product offering
to complement what they are already buying from Alpha’s
other plants.”
About Alpha Packaging:
Alpha Packaging is a leading manufacturer of HDPE and
PET bottles and jars for the nutritional supplement,
pharmaceutical, personal care, and niche food and beverage
industries. In addition to manufacturing, Alpha Packaging
has tool-making capabilities, from unit body cavity
molds to complete high-cavity production tooling. It
also offers in-house design on CAD/CAM systems, serving
as a strategic industrial design partner for customers
in a variety of industries. Alpha’s current management
team has been in place since 1985.
In addition to the new plant in Pennsylvania,
Alpha maintains headquarters and manufacturing facilities
in St. Louis, Missouri and also has sales and manufacturing
plants in Brooklyn, New York and Salt Lake City, Utah.
Alpha’s sales force sells its products through
leading domestic distributors, and also maintains a
network of international distributors in key markets.
For additional information, visit www.alphap.com.
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