Platinum Equity Bets on Century-Old Norton Packaging in Latest Packaging Play

Platinum Equity has made another calculated move in the industrial packaging sector, announcing a significant investment in Norton Packaging, a 124-year-old manufacturer of plastic pails and rigid packaging solutions. The deal, announced January 9, marks the latest chapter in the Los Angeles-based private equity firm's sustained focus on packaging businesses—a sector where it has demonstrated both operational expertise and the ability to generate substantial returns.

The transaction represents a continuation of Platinum Equity's packaging playbook, which has evolved from broad industrial containers to increasingly specialized niches serving essential markets. Founded in 1901 and headquartered in Hayward, California, Norton manufactures high-performance rigid packaging solutions for paints and coatings, chemicals and cleansers, food products, lubricants, and other industrial applications.

Financial terms were not disclosed, though the deal structure reveals strategic alignment between buyer and seller: Norton Packaging CEO Greg Norton and the Norton family retained a significant interest in the business, with Greg Norton continuing to lead the company. This partial-exit structure has become increasingly common in middle-market private equity, allowing founding families to maintain involvement while accessing capital and operational resources for growth.

Platinum Equity's packaging credentials are substantial. The firm previously owned BWAY Corporation, a manufacturer of rigid metal and plastic containers, which it acquired for approximately $1.24 billion in 2012 and sold to Stone Canyon Industries for $2.4 billion in 2016—nearly doubling its investment in roughly four years.

That successful exit validated Platinum's M&A&O® (mergers, acquisitions, and operations) strategy in the packaging sector, a trademarked approach that emphasizes operational improvement alongside financial engineering. The BWAY experience likely informed the firm's decision to remain active in packaging, leading to the August 2023 acquisition of HC Companies (now operating as Growscape), a leading North American manufacturer of horticultural containers serving greenhouse, nursery, and retail markets.

"We have great respect for the Norton family and the business they've built over multiple generations," said Platinum Equity Co-President Jacob Kotzubei. "For more than a century, Norton has demonstrated a commitment to quality, consistency, and deep customer relationships. We believe that foundation, combined with the company's technical expertise and service-oriented culture, makes Norton an exceptional platform for growth."

The Norton investment fits squarely within Platinum's packaging thesis: acquire well-established manufacturers of rigid packaging serving essential end markets, then drive growth through operational improvements, capacity expansion, and strategic add-on acquisitions.

Norton's product portfolio—plastic pails and containers for industrial and commercial applications—addresses markets with consistent demand regardless of economic cycles. Paint and coatings, chemicals, food products, and lubricants all require reliable, high-performance packaging that meets regulatory standards and customer specifications. These are not discretionary purchases subject to consumer whims, but rather essential components of industrial supply chains.

"Norton has built an impressive business with a loyal customer base, and we believe the company is well positioned for both organic and strategic growth," said Platinum Equity Managing Director Nick Fries. "We see significant opportunities to enhance its operations, expand capacity where needed, and pursue add-on acquisitions that can broaden the company's capabilities and geographic reach."

That language—"add-on acquisitions"—signals Platinum's likely strategy: use Norton as a platform for consolidation in the fragmented plastic pails and rigid packaging market. The playbook is familiar in private equity: acquire a strong platform company with established customer relationships and operational capabilities, then bolt on smaller competitors or complementary businesses to achieve scale, geographic expansion, and operational synergies.

The Norton family's decision to partner with Platinum while retaining significant ownership reflects a broader trend in middle-market M&A: founding families seeking growth capital and operational expertise without completely exiting businesses built over generations.

"Our family has always believed in doing things the right way," said Greg Norton. "That means putting customers first, investing in our people and staying committed to manufacturing excellence. Platinum's track record in the packaging sector and its experience helping family-led businesses grow gives us confidence that this is the right partner for the next chapter in Norton's evolution."

This structure offers advantages for both parties. The Norton family maintains upside participation if Platinum successfully executes its growth strategy, while Platinum gains continuity of leadership and institutional knowledge that can be difficult to replace in manufacturing businesses with long-standing customer relationships.

For Norton, founded in 1901 as a small custom tool shop in Oakland, California, the partnership provides resources to compete in an increasingly consolidated industry. Small and mid-sized packaging manufacturers face pressure from larger competitors with greater purchasing power, broader geographic reach, and more sophisticated operational capabilities. Platinum's capital and operational resources could help Norton defend and expand its market position.

The rigid plastic packaging industry is experiencing steady growth driven by global trade expansion and the need for durable, cost-effective packaging solutions. According to industry research, Asia Pacific dominated the rigid plastic packaging market with a 37.05% share in 2024, driven by rising demand for food and beverage products in China and India, along with rapid growth in the packaging sector supported by urbanization and industrial development.

While Norton's primary operations are in North America, the global market dynamics create both opportunities and competitive pressures. Domestic manufacturers must balance cost competitiveness with the advantages of proximity to customers, shorter lead times, and the ability to provide customized solutions and technical support.

The packaging industry is also navigating sustainability pressures, with increasing focus on recyclability, recycled content, and circular economy principles. Plastic packaging manufacturers face scrutiny from regulators, customers, and environmental advocates, creating both challenges and opportunities for companies that can innovate in sustainable materials and design.

Platinum Equity's approach to packaging investments reflects its broader M&A&O® strategy, which emphasizes operational transformation alongside financial structuring. The firm, founded in 1995 by Tom Gores, manages approximately $50 billion in assets across a portfolio of roughly 60 operating companies.

The packaging sector offers characteristics that align well with this approach: established businesses with predictable cash flows, opportunities for operational improvement through manufacturing efficiency and supply chain optimization, and fragmented markets conducive to consolidation strategies.

The BWAY experience provides a template. During Platinum's ownership from 2012 to 2016, BWAY completed multiple add-on acquisitions to expand its product portfolio and geographic footprint, including the acquisition of Ropak, a manufacturer of plastic containers. These bolt-on deals allowed BWAY to achieve greater scale, operational synergies, and market coverage—ultimately contributing to the attractive exit valuation.

Platinum appears positioned to execute a similar strategy with Norton. The plastic pails and rigid packaging market remains fragmented, with numerous regional and specialized manufacturers that could serve as acquisition targets. Norton's established customer relationships, manufacturing capabilities, and brand reputation provide a foundation for consolidation.

The transaction involved a roster of prominent financial and legal advisors, reflecting the deal's significance and complexity. Stifel served as financial advisor to Platinum Equity, while Gibson, Dunn & Crutcher LLP provided legal counsel. On the sell side, Perella Weinberg Partners LP advised Norton Packaging on financial matters, with Donahue Fitzgerald LLP serving as legal counsel.

The involvement of Perella Weinberg Partners—a boutique investment bank known for advising on complex transactions—suggests the deal required sophisticated structuring to balance the Norton family's desire for continued ownership and involvement with Platinum's investment objectives and governance requirements.

The Norton Packaging investment positions Platinum Equity to capitalize on several trends: the ongoing need for industrial packaging solutions, opportunities for consolidation in fragmented markets, and the potential to drive operational improvements in family-owned manufacturing businesses.

For Norton, the partnership provides capital for capacity expansion, technology investments, and strategic acquisitions—resources that would be difficult to access as an independent, family-owned business. The challenge will be maintaining the customer-focused culture and manufacturing excellence that built the business over 124 years while integrating new capabilities and potentially absorbing acquired companies.

The packaging sector's fundamentals remain solid, with consistent demand from industrial and commercial customers who require reliable, high-performance packaging solutions. Unlike consumer-facing businesses subject to shifting preferences and discretionary spending patterns, industrial packaging serves essential functions in supply chains across multiple sectors.

Platinum's track record suggests confidence in its ability to create value through operational improvements and strategic growth initiatives. The $2.4 billion BWAY exit demonstrated that the firm can successfully execute this playbook in packaging. The Norton investment—and the ongoing ownership of Growscape—indicates Platinum sees continued opportunity in the sector.

As the packaging industry navigates sustainability pressures, supply chain disruptions, and evolving customer requirements, the combination of Norton's century-plus heritage and Platinum's operational resources could prove advantageous. The question is whether the partnership can balance growth ambitions with the customer relationships and manufacturing excellence that have sustained Norton through more than a century of industrial evolution.