Weener Plastics expands into the Brazilian market

By Simon Pitman contact

- Last updated on GMT

Weener Plastics expands into the Brazilian market
Netherlands-based Weener Plastics has expanded its footprint in the Latin America market with the acquisition of Orange Products Plasticos.

The acquisition was closed last week for an undisclosed sum and will is line with Weener Plastics’ merger and acquisitions strategy which aims to expand the company’s global footprint, and in particular in the fast-growing Latin America market.

The Brazilian beauty and personal care market has witnessed a significant recovery over the last couple of years, following an economic recession triggered in 2017 by government over-spending.

Tapping into strong beauty growth

The resumption of growth in Latin American’s biggest economy has helped to give a significant boost to growth predictions for the region as a whole, with most analysts forecasting beauty industry growth in excess of 8%.

Orange Products has a particular focus on the manufacture of roll-on-balls for deodorants, an area in which it serves the biggest players in the Latin America industry over the course of the last six years.

This expertise also ties in with Weener Plastics’ primary focus in roll-on-balls, an area that the two businesses should be able to exploit significant synergies.

Synergies and business diversification

Weener Plastics executives say that wish to build on the high service business already in place in Brazil, while developing the knowledge and experience of the local work force.

The Dutch business is a full service global supplier of plastic packaging solutions, which as well as producing roll-ons, also has manufactures jars and bottles for the beauty and personal care industry, as well as supplying the food & beverage and home care markets.

Through the acquisition, Weener Plastics is hoping to expand the offerings of the new business and diversify the business to align with its other areas of expertise.

"Although OPB enjoyed our customers' support and confidence since 2011, the operation was never able to expand beyond the manufacture of plastic roll-on balls,”​ said Paul Sachdev, CEO of Orange Products.

“The acquisition by WP will allow OP Brazil to grow its product line and customer base into new markets. I am confident that the OPB team will continue to service the customer requirements with the same level of care they have provided since the start of the OPB operation."

Related topics: LATAM, Packaging & Design, Packaging

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