EVANSVILLE — The purchase of Graham Packaging Co. by New Zealand’s Reynolds Group Holdings LTD was hailed by economic development leader Greg Wathen as possibly an opportunity for the operation in Northern Vanderburgh County.
He said he’s had no official word on the plant in northern Vanderburgh County future, but, “People shouldn’t necessarily read anything negative into the announcement (of the sale).
“I would suspect this (local plant) will be one of the jewels in Reynolds’ portfolio.”
Jeff Lombard, director and business manager for the local Graham operation, said, “We will definitely be around, but declined any further comment.
The Reynolds Group Holdings is making the purchase for about $1.68 billion, after rival bidder Silgan Holdings Inc. failed to come up with a better offer.
Graham announced Friday it had signed a definitive buyout agreement with Reynolds.
Reynolds, which makes Reynolds Wrap aluminum foil, initially offered $25 per share for Graham.
Graham was the second tenant to move to the Vanderburgh Industrial Park, off Indiana 57, in February 2002. It is one of 60 manufacturing facilities of the York, Pa.-based Graham.
The local plant is known in the industry for its blow-molding process, which it has used in producing high quantities of plastic bottles for Mead Johnson/Bristol-Myers Squibb, Ragu, branded soft drinks, oil companies and other contracts.
Steve Kahre, a co-owner of the Graham property here with Evan Beck, alluded to Graham’s most recent addition of 120,000 square feet of space — proposed by Kahre and Beck and completed in 2008 — as a reflection of the plastic bottles manufacturer’s success here.
With the addition, the plant now has 267,000 square feet of space.
“The last time I talked with them (Graham officials), they were doing extremely well,” Kahre said.
He said he would be surprised if the company’s modern plant here didn’t remain in operation.
He and Beck do business with Graham as WBK, a division of Woodward Development.
Ken Newcomb Jr., president of F.C. Tucker Commercial, termed the Graham plant here as one of the company’s newer ones.
“It’s a pretty high-tech operation.”
Beck said, “Graham packaging has been a wonderful company for our community.”
Wathen noted companies acquire other companies for particular assets, particular skills and particular products, which the companies either possess or produce.
“In this particular case, Grahm has both a highly skilled work force and a highly automated facility.
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