AUSTRALIA (From The Australian) -- Packing company Orora announced that is has bought North American packing solutions company IntegraColor for $US77 million ($107m) to broaden its footprint in the region. The buy is its fifth since it demerged from Amcor in late 2013.

Orora said the purchase would complement its range of packaging products, as IntegraColor focuses on point of purchase retail display and other visual communications services.

Since Orora listed on the ASX in December 2013 after being split off from packaging giant Amcor, it has also bought a rigid plastics containers business, an Australian fibre packaging distributor and a small California-based supplier of flexible packaging.

Orora chief executive Nigel Garrard said the deal to buy IntegraColor would offer savings over time through improved purchasing and integration of shared services.

The acquisition was struck on an earnings multiple of 6.9 times. Returns on the investment are set to be in excess of 15 per cent by the third full year and 20 per cent by year five. It will bring an extra $US100m in sales revenue to Orora.

"This creates a second stream of earnings for Orora in North America and provides a platform for further organic and bolt-on acquisition growth," Mr Garrard said.

"The acquisition of IntegraColor is consistent with our stated growth strategy for North America as it enhances both our customer value proposition and our geographic footprint.

"Orora plans synergies to be realised over time through improved purchasing and integration of shared services.''

IntegraColor, founded in 1956 and employing 300 staff, offers marketing and print solutions for more than 3200 customers across North America.

Its products include point of purchase retail displays and other visual merchandise typically placed in supermarkets and retail outlets.