SUSSEX, Wis. (News release) -- Quad/Graphics, Inc. announced that it has sold its heavy-duty industrial wood crating business Transpak to FCA Packaging, a nationwide leader in the custom industrial packaging solutions space. Transpak operates a 300,000-square-foot facility in Franklin, Wisconsin, where it designs, engineers and builds best-in-class customized, reusable wood crating solutions for heavy-duty commercial and industrial shipments worldwide.
"As our Quad 3.0 growth strategy accelerates, we continue to evaluate our collection of assets with a focus on long-term value-creation and strategic fit," said Joel Quadracci, Quad Chairman, President and Chief Executive Officer. "As part of FCA, Transpak will be part of a leading and fast-growing manufacturer of custom industrial crates, skids and boxes, and benefit from FCA's broader scale, expertise and talent. Through this transaction, we are able to further intensify our focus on our successful Quad 3.0 growth strategy, which delivers greater value to clients by solving their complex marketing problems and process challenges. Net proceeds of approximately $10 million will be used to reduce debt."
David Wilsted, FCA Packaging Chief Executive Officer said: "Since its founding in 1985, FCA has been supplying a broad range of highly customized, heavy-duty industrial packaging products and services to many of the world's leading original equipment manufacturers in the industrial space. We are thrilled to acquire such a high-quality business as Transpak, which has a very experienced and successful management team and employee base. With Transpak, we have greater geographic reach and an expanded set of services that will create additional value for our customers worldwide."
Quad acquired Transpak in December 2013 as part of its strategic purchase of Proteus Packaging, a high-end paperboard packaging business that is also located in Franklin, Wisconsin. Quad continues to own and operate the former Proteus Packaging business, which is now part of Quad's nationwide consumer print packaging platform serving high-profile clients in a wide variety of industries including clothing and apparel, food, personal care, pharmaceuticals, software and electronics. The packaging platform is part of Quad's unique integrated marketing solutions offering that includes strategy and creative through execution across multiple channels - print, digital and broadcast.