Innovia Group Sale of Cellophane
Innovia Group has agreed to sell its Cellophane business and assets to Futamura Chemicals Co., Ltd. The deal is expected to complete on or before 30 June, 2016. Based in Nagoya, Japan, Futamura is a leading manufacturer of plastic and cellulose films, principally servicing the food packaging industry.
Following the sale, Innovia will continue to deepen its focus on its fast-growing and world-leading polymer bank note business and on building on its market leading and differentiated 'double bubble' biaxially oriented polypropylene (BOPP) films business. In the BOPP business, Innovia will continue its focus and investment on differentiated product development for its core and new markets. Innovia is well established as the world's leading provider of technologically advanced polymer banknote substrate and by the end of 2016 will have manufactured more than 50 billion Guardian banknotes for central banks around the world. From its new facility in Wigton, Innovia will be manufacturing the new polymer banknote substrate for the Bank of England beginning with the £5 note due to be issued in September 2016 and the new £10 note in 2017.
Mark Robertshaw, Chief Executive of Innovia Group, said:
"The sale of our Cellophane business is an important strategic step for Innovia. Futamura is an excellent long term owner for Cellophane, with its core business focussed on cellulose and plastic films. In line with our strategy, we will continue to focus on building our polymer films and banknote business where we see significant growth potential. In particular, the benefits of our polymer technology for banknotes have proven to reduce counterfeiting levels significantly and to reduce substantially the lifetime costs to central banks which we expect will continue to drive long term demand for polymer banknotes across the globe."
Yasuo Nagae, President of Futamura Chemical Co., Ltd, said:
"The acquisition of the Innovia's Cellophane business will enhance our product range and presence across the globe. It supports our ambition to serve our key customers through local manufacturing facilities offering the highest standards of delivery by experienced personnel. We look forward to welcoming Innovia's Cello employees into our family."
