Innovia confirms focus on BOPP films for labels and packaging

Earlier this year, and reported here, Innovia Group reached an agreement to sell its Cellophane business and assets to Futamura Chemicals, a Japanese manufacturer of plastic and cellulose films.

With the deal now closed, Innovia is moving forward with its efforts to concentrate on its primary global core markets, namely high performance advanced polymer products for labels, packaging, tobacco and security films. Innovia Group produces polymer banknote products through Innovia Security.

Joe Piccione, managing director of Innovia Films explained: ‘Separating a business that has grown over 80-plus years is a challenge in itself. Achieving that in such a short time frame is commendable to all those involved in that process. We are exceptionally pleased with the outcome of this process for our cellulose film employees and customers.

‘We have always been a specialty films business which represents over 80 percent of our sales. In addition to our unique and bespoke bubble extrusion process, one of our core strengths is surface engineering.  We are experts in tailoring films to our customers’ requirements whether that is barrier, thickness, printability, shrink tightening, squeezability or fast sealing films for optimized performance.  

‘Moving forward, we are well invested and will therefore be looking closely at how we can build upon our manufacturing capabilities and in maximizing our R&D and technical expertise. This will be done to continuously deliver new and exciting product solutions to our existing and new customers. Having divested of our cellulose film business provides us clear focus on strategically growing our BOPP business.’

Internally, Innovia is restructuring to ensure that its BOPP focus is fully aligned throughout the business, people, service and systems.

‘In order to effectively split out the cellulose film business, some employees from our shared services areas (sales, accounting, marketing, customer services, IT, etc) have transitioned to new owners,’ added Piccione. ‘This has provided us with an ideal opportunity to re-evaluate our organisational structure in line with our strategy, to ensure that we augment, reinforce and improve these and other key service functions.’