Intending to focus on its global Consumer and Industrial packaging businesses, Sonoco divested its US Display and Packaging business to Hood Container Corporation for $80 million in cash.
Sonoco’s US Display and Packaging business produced net sales of approximately $135 million in 2020. The business provides point-of-purchase display design, manufacturing and fulfillment as well as contract packaging services for consumer product customers with more than 250 brands.
With approximately 450 employees, the business is based in Winston-Salem, NC, and operates eight manufacturing and fulfillment facilities along with four sales and design centers.
Based in Atlanta, GA, Hood Container is a family-owned, integrated paperboard and specialty paper manufacturer with operations in containerboard, kraft paper, corrugated boxes, high-graphic displays and contract packaging, corrugated, folded box and displays.
“Our US Display and Packaging business has been an industry pioneer with a legacy of providing innovative solutions for complex supply chain challenges,” said Howard Coker, Sonoco president and CEO. “However, Sonoco is focused on growing our core Consumer and Industrial packaging businesses around the world, and by divesting this business we expect to apply proceeds to further invest in ourselves while returning value to our shareholders.”