France-based Albéa Group has sold its US cosmetic compact manufacturing business to Wisconsin-based SussexIM, a specialist in plastic injection moulded solutions and products.
The acquisition includes the reacquisition of the associated innovation centre, which is the focus of product development, while the deal also serves to give SussexIM the necessary autonomy it needs to deal directly with its customers in this category.
SussexIM president and founder, Keith Everson, says that one of the main advantages of the acquisition is the fact that it will improve time to market for new packaging concepts, thanks mainly to accelerated decision-making capabilities and shortened supply chains.
“With the purchase of our cosmetic production assets, we can seamlessly and efficiently serve this exciting industry and deliver the quality, experience and return-on-investment SussexIM has long been known for,” Everson said.
Reintegration of the business
The acquisition also means that the innovation center will be reintegration into the company’s Sussex, Wisconsin headquarters, following its prior move to another facility belonging to the Albéa Group.
“The return of these development resources and flexible innovation capabilities to our home base will help facilitate new cosmetic product development,” Everson said.
The acquisition serves to sever the manufacturing partnership with Europe that SussexIM has developed since it was founded in 1977 and creates more of a stand alone business that targets increased efficiencies.
Acquisition follows on from 2010 management buyout
In 2010 SussexIM completed a management buy-out from Rexam’s Plastic Packaging Group in 2010, and has continued to enjoy double digit ever since, its management claims.
Following this, Rexam sold its personal care manufacturing unit to Albéa, which was approved by the European Commission at the end of 2012, while the reacquisition of the compact development business consolidates SussexIM’s operations as well as streamlining Albéa’s global research and development.
SussexIM has offers plastic moulded products to a number of industries, but within the cosmetics compact category it supplies a number of global manufacturers, including L’Oréal, Revlon, Mary Kay, Neutrogena, and Elizabeth Arden.