Novvia Group has acquired Saxco International, a rigid packaging solutions provider for the food and beverage market.
Saxco was established in 1936 and is based in Fairfield, California. The company services a diversified customer base of over 5,000 wineries, breweries, distilleries, and specialty food manufacturers in North America.
The company has over 10,000 SKUs in its inventory and over 1 million square feet of warehouse space in 20 fulfillment centers, ensuring timely distribution of its products.
Saxco has offerings of different packaging solutions such as glass, metal, and plastic, along with other value-added services, including packaging design, demand planning, and case packing.
This is Novvia's strategic entry into the rigid packaging consumer-focused industry, an expansion of its existing industrial and life sciences specialties.
From our very first conversation with the Novvia team, we were struck by the professionalism, fairness, and efficiency of the diligence process, coupled with a real focus on making sure that Saxco is a growth platform for Novvia supported by all the benefits and resources of a bigger organisation, as said by JB Berry, the founder, and chairman of Saxco.
Novvia executive chairman Ken Roessler added, "The Saxco acquisition marks an important milestone in Novvia's history. We are thrilled to work together with the great Saxco team and leverage Novvia's organizational strengths and our strong customer and supplier relationships in driving the consumer packaging expansion strategy."
CMI Research: Essential Rigid Packaging Market Trends
According to Coherent Market Insights (CMI), from 2024 to 2031, there is an observed growth in this rigid packaging market with a predicted CAGR of 4.6% arising from the steady increase in global demand for food and beverages as packaged products. The market stood at around US$ 227.36 billion in 2024 and is estimated to reach higher than US$ 311.48 billion during 2031.
The primary driver behind the market has been the growing demand for tough and safe packaging solutions in industries like food and beverages, medicines, personal care, and electronics.
Analyst View: Strategy Play for Rigid Packaging Market Growth
Industry demand for food and beverage continues to fuel the rigid packaging market, according to Kalpesh Gharte, senior consultant
Business Takeaways
The acquisition of Saxco by Novvia expands its range and increases the company's capacity to service different sectors in the rigid packaging market. This transaction, therefore, exemplifies a growing demand for creative packaging solutions as well as the need for smart acquisitions to spur growth. Packaging companies can look into comparable opportunities to diversify their product offerings and stay competitive in an emerging market.
