DIC Corporation has acquired liquid inks for the packaging business from Liaoning Tianqi Technology, a manufacturer of liquid inks for packaging for the food and beverage industry based in China.
The acquired company name will be DIC Graphics (Shenyang) Ltd. Financial terms of the deal were not disclosed.
The acquisition is part of DIC’s efforts to strengthen its supply configuration in the north and northeast of the People’s Republic of China (PRC).
The firm said in a statement: “Demand for these inks has climbed in the PRC in recent years, while rising concern for environmental and safety-related issues has fueled needs for environment-friendly options.”
DIC expects that the acquisition would increase the production capacity of liquid inks for food and beverage packaging in the country by about 20%.
“In addition to taking over the business’s existing operations, which centre on the northeast of the country, DIC will position the production facilities gained through the acquisition as its production sites in the north and northeast, thereby also reinforcing its regional supply configuration, which the Company anticipates will boost local sales,” DIC noted in a press statement.
DIC said it is currently focusing on improving production capacity in the Asian markets, increasing its product portfolio, and expanding the scope of business through joint ventures, mergers and acquisitions and other actions.