Faerch Group has completed its first acquisition since coming under new ownership in December 2020, with the purchase of MCP Performance Plastic. The deal provides Faerch with a presence in the US market, which is part of the company’s long-term growth strategy and underpins its ambition to lead the transition of food packaging towards circularity globally.
Owned by Denmark’s AP Moller Holding, Faerch is a major European supplier of rigid packaging solutions for the food industry and claims to be the world’s first integrated tray recycler. MCP is a manufacturer of turnkey packaging solutions, serving food producers, brand owners and retailers in the US, Middle East and Europe. MCP employs 200 people and has two production sites in the US and Israel, offering a range of food trays made from CPET, APET and PP.
“Our circular solutions will complement MCP’s product range, setting us jointly at the forefront of making food packaging circular also beyond Europe”, said Faerch chief executive Lars Game Hansen. “In a circular economy, food packaging is made from recycled content and recycled back into new food packaging in an endless number of cycles.
“MCP will serve as a stepping stone for Faerch entering the important US market, which is estimated to account for $55 billion. Being local will allow us to support the retailers, brand owners and food manufacturers in making the right material choice for true circularity in the US food packaging market.
“Our owner AP Moller Holding and their globally operating subsidiaries have been engaged in the US for more than 100 years. We are delighted to be able to utilise this exceptional experience when taking the next step in Faerch’s development expanding our operations to the US.”
The transaction is expected to close within three months, subject to customary closing conditions and regulatory approval.