Silgan swallows Rexam unit - Westfair Communications

Silgan Holdings Inc. is acquiring a Stamford-basedÂ Rexam PLC unit that produces plastic food bowls and trays that can hold up under the heat of microwave ovens and other stresses.

Silgan, also based in Stamford,Â sells a wide range of metal cans and plastic containers. The company is paying $250 million for Rexam”™s plastic thermoformed food container unit, which is on pace for $100 million in revenue this year. Silgan’s first quarter 2012 earnings were up 9 percent from a year earlier, at $32.8 million on $768 million in revenue.

“This business is uniquely positioned for the growing demand in the ready-meals market through its low-cost technology which meets the rigorous requirements of the shelf-stable food market,” said Silgan CEO Tony Allott in a prepared statement. “The ability to provide our existing customers with product line extensions that offer convenient, on-the-go capabilities makes it an excellent fit within the Silgan suite of products.”