The European Commission has approved the acquisition by Bain Capital Fund and Dor Chemicals of Trespaphan, Moplefan and Dor Film Australia, which will constitute a joint-venture active in the manufacture and supply of flexible packaging material for consumer goods.
Moplefan, Dor Film and Trespaphan are all active in the manufacture and supply of BOPP (bi-axially oriented polypropylene), a plastic application obtained from polypropylene and used primarily for food and non-food standard flexible packaging. Trespaphan currently belongs to German chemical supplier Celanese. Moplefan and Dor Film Australia are currently controlled by the Dor Chemicals group.
Bain Capital Fund is a limited partnership investment fund whose ultimate general partner is Bain Capital Investors, a world-wide fund management group that manages private equity, venture capital, hedge and high yield funds. Dor Chemicals is a family-controlled company which produces a wide range of intermediate petrochemical products in the chemical, plastics, pharmaceuticals and wood industries, as well as in agriculture and in motor fuels.
The Commission's investigation has focused on the market for standard flexible packaging materials for consumer goods, and more specifically on the production and sale of the various modalities of BOPP film in the European Union, where the parties' activities overlap.
The results of the enquiry confirmed the presence of a number of solid players competing with the new entity and ensuring enough customer choice. The EC investigation concluded that there were no significant barriers to switch to other suppliers and that most customers use multi-sourcing and centralised purchasing strategies.