Toppan Holdings acquires Sonoco’s TFP business

Toppan Holdings has entered into an agreement with Sonoco Products Company, a global provider of sustainable packaging, to acquire Sonoco’s Thermoformed & Flexible Packaging (TFP) business for approximately 1.8 billion USD on a cash-free and debt-free basis and subject to customary adjustments. 

This acquisition is highly complementary, combining the robust sales network, customer base, and solution development capabilities of Sonoco’s TFP business in North and South America with the technical expertise and manufacturing capabilities of Toppan Group’s global packaging business. 

Sonoco's TFP is a leading thermoformed and flexible packaging business serving a wide range of customers in food, retail, and medical verticals. TFP provides a variety of complex packaging to value-added categories including snacks, condiments, healthcare, prepared meals, fresh products, coffee, and pet food. On a pro forma standalone basis, TFP had revenue of approximately 1.3 billion USD in 2023. 

Hideharu Maro, representative director, president and CEO of Toppan Holdings, said: ‘We are extremely pleased to have the opportunity to bring Sonoco’s TFP business to the Toppan Group. In order to accelerate our strategy to become a global leader in sustainable packaging solutions, we will employ the complementary strengths of both parties to drive growth, solve customers’ needs and create significant value for our shareholders. This is an essential milestone in the Toppan Group’s global strategy to scale the sustainable packaging business.’ 

This transaction is subject to customary closing conditions, including regulatory approvals, and is expected to close in the first half of 2025. 

Under the current medium-term-strategy, the Toppan Group has been transforming its portfolio, and one of its key strategies is to drive sustainable packaging solutions at global scale. 

The Toppan Group has been driving innovation in the development of sustainable packaging solutions by establishing a global supply chain from film manufacturing to packaging manufacturing and optimizing cost to meet brand owners’ needs locally and globally.  

Houlihan Lokey is acting as lead financial advisor and Morrison & Foerster is acting as legal advisor to Toppan. Mitsubishi UFJ Morgan Stanley Securities is also acting as financial advisor to Toppan. 

Goldman Sachs & Co. is acting as lead financial advisor and Freshfields is acting as legal advisor to Sonoco. RBC Capital Markets, is also acting as financial advisor to Sonoco.