Austria headquartered multinational packaging plastics producer ALPLA, will soon be acquiring Spanish plastic bottle manufacturer Plastisax.
Plastisax is dedicated to the production of bottles and containers for cosmetics, household, and personal care products using High Density Polyethylene (HDPE) and Polyethylene Terephthalate (PET) grade plastics. The company applies the extrusion blow moulding and stretch blow moulding technologies, respectively, for the same.
With this acquisition, ALPLA targets to expand its plastic packaging portfolio for packaging products composed of HDPE, which is a specialization of Plastisax. The takeover will also leverage the company to indulge in sustainable packaging through Plastisax’s expertise in developing recycled content-based solutions.
High Density Polyethylene is a thermoplastic polymer that results from the high-temperature thermal cracking of petroleum. Its ease of mouldability, chemical and electrical resistance, translucence and weather-tolerant properties make it an ideal material for the packaging of everyday-used products. HDPE exhibited a global market size of 45 million tonnes in 2020.
As per ChemAnalyst, the packaging sector enjoys a large chunk out of the global High Density Polyethylene demand that is expected to grow at a healthy CAGR of over 5%. The increasing reliance of middle-class and high-class populations on packaged foods and other household articles is one of the major factors behind the flourishing HDPE market. Meanwhile, the rising awareness and the consequently increasing preference of local masses towards the use of recycled products has stimulated many companies to direct their strategies towards circular products. Therefore, the acquisition by ALPLA looks to be a profitable investment in terms of expanding its geographical reach and strengthening the circular economy.