Caraustar Industries, an Austell-based provider of recycled paperboard products, said it will acquire the Newark Group Inc., another producer of recycled paperboard.
Financial terms of the deal were not disclosed.
Cranford, N.J.-based Newark Group has about 1,500 employees and more than 20 manufacturing plants in the U.S. and Canada. In addition to paperboard, the company produces linerboard, industrial tubes, cores and other converted product including book covers and packaging.
Caraustar Chief Executive Officer Michael Patton said the acquisition will “dramatically expand our manufacturing and distribution capabilities.”
Caraustar’s recycled paperboard is used in a variety of products, from hard cover books, puzzles and game boards to cartons for packaging dry and frozen foods and healthcare products. In addition to folding cartons, the company also produces tubes and cores, gypsum facing paper and specialty paperboard products.
In May 2013, Wayzata Investment Partners sold Caraustar to the investment firm H.I.G. Middle Market, an affiliate of H.I.G. Capital.
