Leading Spanish packaging manufacturer Grupo Armando Álvarez is expanding its flexible packaging capacity with the acquisition of national flexpack printing and laminating company Envaflex.
Spain’s top polyethylene films processor, Armando Álvarez signed an agreement last month to buy the smaller packaging firm which is based in Zaragoza. The takeover, for an undisclosed sum, is expected to be completed by the end of June, according to the buyer.
Family-run Envaflex, set up in 1984, specialises in processing and finishing film packaging for the food industry. It handles a range of monolayer and multilayer films, with or without barrier properties, in material including PE, cast polypropylene, BOPP, and PET plastics.
Álvarez’s competitor operates a 16,000m2 plant at Utebo, Zaragoza in northern Spain and employs a workforce of more than 100. It is equipped to offer rotogravure, flexo and HD printing processing. Last year, the firm achieved sales valued at around €25m.
Armando Álvarez, based at Torrelavega, in the northern Spanish province of Cantabria, has diversified and grown steadily over the years, largely through a series of acquisitions. Its latest purchase will strengthen its predominant flexpack offshoots Aspla-Plásticos Españoles, S.A. of Torrelavega and stretch film producer Silvalac in Barcelona.
The group saw its most significant growth through acquisition some years ago. However, its last purchase was in 2014 when it ventured abroad to take over a young US flexible packaging business SPR Packaging of Rockwall, Texas.
Armando Álvarez, founded in 1964, has other subsidiaries in the areas of rigid plastic containers, agricultural films, stretch film and geosynthetics as well as interests in wood, forestry and hotels.
Apart from film extrusion, the group produces bulk rigid packaging including blow moulded PE drums, composite IBCs and roto moulded tanks.
Last year, the Spanish group saw its total revenue rise by 8% to reach €915m, a third of which represents export sales. Plastics processing represented €820m. Armando Álvarez has an overall workforce of around 2,000.