ProAmpac to Acquire Gelpac From an Investor Group Led by Namakor, and Supported by W Investments

CINCINNATI and MONTREAL – March 13, 2024 – ProAmpac, a global leader in flexible packaging and material science, and Gelpac, a premier producer of multiwall paper and poly-woven packaging products, today announced the signing of a definitive agreement under which ProAmpac will acquire Gelpac from an investor group led by NAMAKOR Holdings (“NAMAKOR”), including Groupe W Investissements (“W Investments”) and CDPQ.

The strategic acquisition of Gelpac’s production capabilities and high-performance paper and poly products will offer increased capacity and broaden ProAmpac’s product portfolio for customers across the United States and Canada. Combining Gelpac and ProAmpac will allow the company to better serve customers in the high-growth food and beverage, agriculture, industrial and pharmaceutical end markets.

“Gelpac shares ProAmpac’s commitment to serve customers across the U.S. and Canada with high-performance, sustainability-focused flexible packaging solutions,” said Greg Tucker, Founder, Vice Chairman and Chief Executive Officer of ProAmpac. “Gelpac’s talented management team has a 20-year track record of working together to build this strong business, and I am delighted to welcome them to the ProAmpac family.”

“ProAmpac is the ideal partner for Gelpac’s continued growth and innovation,” said Alain Robillard, President and CEO of Gelpac. “ProAmpac’s platform and capabilities will provide significant benefit to our customers and key partners as we continue to offer exemplary packaging solutions in the market. On behalf of the management team and employees of Gelpac, we are thrilled to pursue our next stage of growth with ProAmpac as our new partner.”

Founded in 1956 and operating six facilities in the United States and Canada, Gelpac serves a growing and diversified customer base with a broad portfolio of multiwall paper bag and polyethylene packaging solutions. The company has built a stellar reputation for performance, a flexible business model with the ability to serve short- and long-run customers, turnkey capabilities and a deep commitment to innovation and sustainability. Gelpac will maintain its operational presence and head office in Quebec post-closing.

ProAmpac leverages its fiber and film-based materials science expertise to deliver greener flexible packaging products. Catering to industries such as food, pet care, healthcare, e-commerce, retail and industrial goods, ProAmpac operates 46 sites globally, with nearly 6,000 employees supplying more than 5,000 customers in 90 countries. The company is jointly owned by Pritzker Private Capital, management and other co-investors.

“Gelpac is a complementary addition to ProAmpac’s growing platform across Canada and the United States,” said Kaitlyn Desai, Principal at Pritzker Private Capital. “Both businesses have built strong reputations as customer-focused innovators in sustainable, flexible packaging solutions.”

Stéphane Huot, President and COO of NAMAKOR, added, “We are proud of the accomplishments and growth Gelpac achieved during our ownership and look forward to their continued success under ProAmpac and PPC’s stewardship in the years to come.”

“We believe ProAmpac is a great strategic partner for an exceptional business in Gelpac, and we are grateful to have helped bring Gelpac to this point.” Maxime St-Laurent, Managing Partner at W Investments, added, “We valued our years of partnership with Gelpac and look forward to its further achievements under new ownership.”

Kim Thomassin, Executive Vice-President and Head of Quebec at CDPQ, commented, “Since becoming a shareholder in 2017, CDPQ has generated value and growth within Gelpac through a series of acquisitions, primarily in the United States. Today, following a rigorous and exhaustive process that keeps the head office, facilities and jobs in Québec, the company will be able to continue developing alongside a partner that is already firmly established here, which will foster its expansion.”

The transaction is subject to customary approvals and closing conditions and is expected to close in the coming weeks. Terms of the transaction were not disclosed.

ProAmpac was represented by Kirkland & Ellis L.L.P and McMillan L.L.P. Gelpac was represented by Fasken Martineau DuMoulin L.L.P and Bradley L.L.P and Mesirow served as the exclusive sell-side advisor to Gelpac.

About ProAmpac
ProAmpac is a leading global flexible packaging company with a comprehensive product offering. We provide creative packaging solutions, industry-leading customer service and award-winning innovation to a diverse global marketplace. ProAmpac’s approach to sustainability – ProActive Sustainability -- provides innovative sustainable flexible packaging products to help our customers achieve their sustainability goals. We are guided in our work by five core values that are the basis for our success: Integrity, Intensity, Innovation, Involvement, and Impact. Cincinnati-based ProAmpac is owned by Pritzker Private Capital along with management and co-investors. For more information, visit ProAmpac.com or contact Media@ProAmpac.com.

About Gelpac
Gelpac has been a leading supplier of high-performance packaging solutions to the North American agrifood, pharmaceutical, chemical and construction industries for over 60 years. Its multiwall paper bags and various polyethylene packaging products are designed to meet the exact specifications of each client and are manufactured on state-of-the-art production lines by seasoned teams that share a common passion, that of a job well done. For more information, visit Gelpac.com.

About Pritzker Private Capital
Pritzker Private Capital partners with middle-market companies based in North America with leading positions in the manufactured products and services sectors. The firm’s differentiated, long-duration capital base allows for efficient decision-making, broad flexibility with transaction structure and investment horizon, and alignment with all stakeholders. Pritzker Private Capital builds businesses for the long term and is an ideal partner for entrepreneur- and family-owned companies. Pritzker Private Capital is a signatory to the United Nations Principles for Responsible Investment (PRI). For more information, visit PPCPartners.com.

About Namakor Holdings
Namakor Holdings is a private equity firm with a focus on lower middle-market manufacturing companies in North America with an emphasis on Quebec, Canada. With 70+ years of shared experience of the Partners, Namakor sources its investments from tertiary markets with distinct local dynamics including labor unions, French-speaking provinces, and long-term family ownership. For more information, visit namakorholdings.com.

About W Investments
At W Investments, what sets us apart is our unique approach to private equity. Our investor base is predominantly comprised of accomplished entrepreneurs, bringing a wealth of practical experience and strategic insights to our partnerships. Our commitment is more than financial. Our founders were once operators themselves, providing us with invaluable knowledge of the challenges and opportunities that businesses face. We believe in allowing existing management teams to retain control and make critical decisions while benefiting from our support, guidance and expertise. Our approach is underpinned by patient capital, allowing companies the time needed to achieve their full potential. https://winvestments.ca/

About CDPQ
At CDPQ, we invest constructively to generate sustainable returns over the long term. As a global investment group managing funds for public pension and insurance plans, we work alongside our partners to build enterprises that drive performance and progress. We are active in the major financial markets, private equity, infrastructure, real estate and private debt. As at December 31, 2023, CDPQ’s net assets totalled CAD 434 billion. For more information, visit cdpq.com.

CDPQ is a registered trademark owned by Caisse de dépôt et placement du Québec and licensed for use by its subsidiaries.