Castle Harlan buying packaging makers for $200M

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NEW YORK (AP) — Private equity firm Castle Harlan Inc. said Monday it is buying plastic container maker Pretium Packaging LLC and rival PVC Container Corp. in deals valued at a combined $200 million.

The combined company will retain the Pretium name and will have annual sales of roughly $240 million and 14 manufacturing plants in the U.S. and Canada, Castle Harlan said in a press release.

The Pretium acquisition is expected to close in the first quarter, and Pretium will then acquire rival plastic container maker PVC.

Pretium, based in Chesterfield, Mo., is being sold by founder Keith Harbison, who will keep a minority stake in the company and will sit on its board.

PVC, based in Eatontown, N.J., is being sold by private equity Kirtland Capital.

William Pruellage, senior managing director of New York-based Castle Harlan, said the two companies have little overlap among customers.

“We see abundant opportunities for the combined company to expand its customer base geographically, and we believe management is energized to do that,” he said in a statement.