Parcrest Advises Leading Specialty Tinplate Packaging Manufacturer Allstate Can Corporation on its Sale to The Ohio Art Company
PARSIPPANY, N.J., Jan. 10, 2024 /PRNewswire/ -- Parcrest Advisors ("Parcrest") served as the exclusive investment banking advisor to Allstate Can Corporation ("Allstate" or the "Company") on the sale of 100% of its assets to The Ohio Art Company ("Ohio Art"). With over 100 years of heritage in the packaging sector, the Company offers a wide range of specialty tinplate packaging solutions across more than 20 distinct end markets and holds a particularly strong presence in sectors such as Chemicals & Petroleum, Cookies & Candy, and Children's Entertainment Products.
Headquartered in New Jersey with an additional manufacturing and distribution center in Nevada, Allstate Can Corporation, stands as one of the Country's leading specialty tin cans manufacturers. The third-generation family-owned enterprise, steered by the Papera family, sets itself apart by its dedicated, customer-centric sales team, which enables the Company to tailor its services to meet unique client demands in a cost-efficient manner. Having built a reputation for delivering high-quality packaging solutions for over a century, Allstate has not only succeeded in retaining a loyal customer base but also continues to forge new business relationships and is now being further energized by a dynamic mix of young professionals and seasoned experts. The Papera family's collective efforts have steered Allstate through consistent sales growth and profitability improvements, even in the face of multiple economic recessions over its history.
The Ohio Art Company has been one of the premier metal lithographers since its first lithography press was installed in 1915. The Bryan-Ohio based company, likely best known for the iconic Etch A Sketch toy, has been squarely focused on building its lithography business since selling the Etch A Sketch brand in 2016. Ohio Art specializes in precision printing and beautiful color reproduction and has a thorough understanding of Allstate's business as they have been a customer for more than two decades, providing strong synergy and complimentary services, which will benefit its customers across all product categories.
The combined entities and assets will now provide Ohio Art with a comprehensive range of in-house services, encompassing steel sourcing, pre-press plate making, both conventional and UV coating and printing, metal stamping, full-service can-making, and warehousing. This broader set of capabilities and services equips Ohio Art (and Allstate) to better serve its customers and take advantage of a unique opportunity in the specialty tinplate can market.
"We are thrilled that Allstate becomes part of Ohio Art, a working partner we have interacted closely with for more than 20 years. Parcrest has demonstrated exceptional mastery of the M&A process with perfect positioning and storytelling, ability to get into the details of our company and business, strong rolodex with direct access to strategics and Private Equity capital, as well as remarkable negotiation and execution ability, bridging positions that sometimes felt too far apart" said Richard "Rick" Papera (President) and Ronald "Ron" Papera (Vice-President), third-generation owners of Allstate Can Corporation.
"This acquisition is a key step in our strategic business focus to meet growing customer demands, allowing us to develop production strategies to meet all of the metal packaging needs of current and prospective customers. And we couldn't have found a better partner than the Allstate Can Corporation which, like The Ohio Art Company, has been focused on delivering high quality, professional products and services for more than a decade," said Elena West, Chief Executive Officer of the Ohio Art Company.
"These are exciting times for both The Ohio Art Company and Allstate Can Corporation, as we meet market demands with a broader set of capabilities and services and continue to build our business in a meaningful manner. We are thankful to the Papera family who have founded and grown this business significantly over the years as well as to their bankers Parcrest Advisors, who were able to run a fair, well-structured competitive process and to create value each step of the way and throughout negotiations," said Martin Killgallon, President of The Ohio Art Company.
"I am delighted with this outcome as it creates a stronger player in this important packaging segment while satisfying the desires of all stakeholders. We are particularly grateful to the Papera family for entrusting us with this important endeavor," said Francisco Lume, Managing Partner of Parcrest Advisors. "The context around this transaction was particularly challenging with the company adjusting for normalized steel and tinplate prices and a high inflation and interest rate environment. We were particularly apt in translating a complex story with multiple layers into several building blocks that supported a story of consistent growth and margin expansion."
"This deal represents yet another successful transaction within Parcrest's packaging practice, and exemplifies our firm's commitment, perseverance and advocacy on behalf of our clients. We are honored to have been selected to advise on this important, complex transaction from which will emerge a much stronger player within the packaging sector," said James C. Lee, Founder and Managing Partner of Parcrest Advisors.
About Allstate Can Corporation
Headquartered in New Jersey, Allstate Can Corporation is a well-established specialty tin can packaging Company with 100+ years of heritage in the sector, operating in multiple customer and product segments, and offering a variety of can types, such as interior seal, tapered, friction, seamless, slip cover, hermetic sealed, decorative and custom/printed cans. Further information about Allstate can be found at www.allstatecan.com.
About The Ohio Art Company
Established in 1908 and headquartered in Bryan, Ohio, The Ohio Art Company is a leader in decorated metal lithography for metal packaging products and was once one of the largest metal toy manufacturers in the world – behind names such as Etch-A-Sketch and Betty Spaghetty. Further information about Ohio Art can be found at www.ohioart.com.
About Parcrest Advisors
Parcrest Advisors is a rapidly growing investment bank based in New York City with a strong focus in the consumer and industrials sectors. In order to provide securities-related services discussed herein, principals of Parcrest are licensed with Independent Investment Bankers, Corp. member FINRA & SiPC. Independent Investment Bankers, Corp. and Parcrest are not affiliated entities. Further information about Parcrest is available at www.parcrest.com.
Media Contacts:
Francisco Lume
Managing Partner
+1 (212) 520-1718
[email protected]
James C. Lee
Founder & Managing Partner
+1 (212) 520-1717
[email protected]
SOURCE Parcrest Advisors
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article