Following the agreement signed between International Paper and Atlas Holdings Shorewood Packaging and AGI World, two leading global suppliers of packaging solutions, are merging to become AGI-Shorewood. The combined entity will create one of the largest specialty packaging businesses in the world with operations in North America, Europe, Asia, Australia and Latin America.

AGI World, in particular, has been focusing on the media and entertainment, music, video game, technology and telecom, industries. AGI employs about 1,500 employees with 11 manufacturing facilities and six creative services offices in the US, UK, Austria, France, Ireland, Germany, Poland, The Netherlands and Australia.

Once the transaction is complete, the new company will employ nearly 4,000 people and will operate 24 manufacturing facilities around the world. In addition, AGI-Shorewood will be strategically focused on its key consumer packaging, media and entertainment, and tobacco packaging markets.

Mike Ukropina, currently Shorewood Packaging president, will lead the new AGI-Shorewood organisation as president and CEO. MarkCaines will continue overseeing NorthAmerican operations, TonyGarnish, the European operations and LucyTzou, the Asian operations.

Shorewood Packaging is part of International Paper. Atlas Holdings LLC is an industrial holding company and investment firm specialising in the purchase of middle-market firms. Upon closing of the transaction, Atlas will own 100% of the combined AGI-Shorewood business in the US and International Paper will own a 40% interest in the combined AGI-Shorewood business outside of the US. The various regional transactions are expected to close before the end of 2011.

Story filed 30.08.11