Acquisition of packaging manufacturer aims to increase capabilities

In a move which aims to better serve customer needs, private equity firm Asparron Capital has acquired the jars and closures assets of plastic injection molding manufacturer, Cosmetic Specialties (CSI-Cosmolab).

The acquisition marks the separation of Cosmetic Specialties International from Cosmolab, a provider of product development and manufacturing services to the color cosmetics sector, which merged in 2003 to create CSI-Cosmolab

Focus on improving capabilities through increased resources

It is expected that the deal, which was finalized in October last year, will help to grow the jars and closures business through focusing on improving capabilities in several key areas.

“Our new relationship will provide increased funding and resources for cutting edge component design and engineering, rapid tooling, eco-friendly materials and energy-efficient technologies that enhance our customer service,” CSI executive vice president and chief financial officer David Paneiko said in a statement.

CSI acts as a supplier to many global beauty brands, and offers injection molded jars, caps and closures made from virgin plastics and plant-based resins. According to the company, these renewable resins are derived from natural tapioca, potatoes, corn sugars and materials otherwise destined for landfill.

Focus on sustainable packaging

Sustainable packaging is a key focus for the company, and Asparron CEO William Gedwed believes that the transaction “is the first step in moving CSI into the forefront of product development” in this area.

Two years ago, CSI manufactured the first bio-based and biodegradable PHA jars made from Mirel bioplastics from Telles. Mirel P1003 resins are derived from corn sugar and have similar properties to traditional PP, the company said.

Demonstrating its range of services, CSI said it has the capacity to offer customers a variety of decoration services including silk screening, pad printing, hot stamping and label application, as well as cap-lining capabilities for a broad product and size range.