), in sync with its strategy of expanding in emerging markets,
has acquired a leading producer of corrugated packaging materials
in India, Ruby Macons Limited. The company will become a part of
MeadWestvaco's global Industrial Packaging segment.
Founded in 1986, Ruby Macons currently operates two mills
containing three paper machines in and around Vapi, Gujarat. The
mills produce around 150,000 tons of containerboard annually. The
company generates annual revenue of around $80 million enjoying
double digit operating margins. The company has achieved more
than 20% average growth over the last several years.
MeadWestvaco has been operating in India for the past 20
years. The company currently has a facility in Pune manufacturing
rigid, humidity resistant corrugated packaging for fresh fruits
and vegetables, consumer goods, household appliance and
It has its corporate office in Pune, which caters a variety of
consumer markets, including Healthcare, Beauty & Personal
Care, and Beverage. The company also markets specialty chemicals
for asphalt paving and other specialty chemicals markets.
Packaging is a large and growing global market, particularly
benefiting from the economic prosperity in emerging markets
around the world, particularly in Brazil, China and India. The
rapidly-evolving retail sector and the fast-growing middle class
make India a profitable destination for packaging players.
Furthermore, packaging is becoming crucial to the successful
marketing of products as solutions that enhance freshness,
convenience and product safety are becoming imperatives since
consumers are becoming more and more aware these days.
MeadWestvaco is well positioned to capture growth from these
trends with its new products and solutions.
Richmond, Virginia-based MeadWestvaco is a global producer of
packaging, coated and specialty papers, consumer and office
products, and specialty chemicals. Among the principal markets
that the company serves are the food, beverage, beauty &
personal care, healthcare, media & entertainment, tobacco and
home & garden industries.
The company operates in 30 countries and serves customers
across more than 100 nations. MeadWestvaco retains a short-term
Zacks #3 Rank (Hold). MeadWestvaco competes with
International Paper Company
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