State of the Industry: Global Consolidation in Packaging

As we move into the next decade, many changes are in store for owners of packaging companies. Through direct involvement in mergers and acquisitions (M&A) for more than 25 years, and using comprehensive proprietary research, Blaige & Company has witnessed the evolutionary trends of industry structures and transaction processes. Blaige & Company's new detailed Ten Year Consolidation Analysis (released February 2011) of the major packaging sectors shows that during the past decade, more than half of each segment's top 50 companies as of 2001 have undergone elimination or a change in ownership. Additionally, on average, 20 percent of surviving companies used M&A as a strategy, raising the total percentage of companies substantially involved in M&A over the past decade to 70 percent. As this consolidation trend continues, owners of packaging companies will need to develop more institutionalized strategies to continue growth or to ensure survival.