Pact Group has completed the acquisition of Flight Plastics, a leading provider of packaging for the fresh food segment and New Zealand’s only packaging manufacturer with integrated PET recycling capability.
According to a Pact Group statement, customers are increasingly demanding sustainable packaging that supports the local circular economy.
“The acquisition of Flight will significantly enhance Pact’s offering to customers in the fresh food segment in both New Zealand and Australia, providing capability to offer customers up to 100 per cent locally sourced recycled materials,” the statement reads.
Flight utilises extrusion and thermoforming technology to produce trays and containers for packaged grocery products from both rPET and virgin resins.
Its recycling plant has the capacity to produce 5000 tonnes of rPET from baled PET waste each year, which is a significant proportion of New Zealand’s collected PET waste, and which can be expected to expand, increasing supply of recycled materials to the market.
Pact Group Managing Director and CEO Sanjay Dayal explained that the acquisition is strongly aligned with the company’s strategy to lead the circular economy.
“We are investing across our platform to develop the recycling capability our customers will need to deliver their 2025 sustainability commitments,” he said.
Dayal added that Pact is targeting 30 per cent recycled content across its portfolio, which means it will need more than 60,000 tonnes of recycling capacity by 2025.
“As an integrated recycling and packaging manufacturer we have a special position in the plastics value chain,” he said.
“We have capability not only to recycle plastics, but also to create demand for recycled materials through innovative packaging design and manufacture. Flight strongly compliments and enhances our platform.
“We welcome the highly talented and committed Flight team to Pact. We are excited by the opportunity to leverage our combined strengths in leading change and growing the circular economy.”