After running his company for almost 20 years, Michael Pearson has sold Union Packaging, LLC, a leading producer of folding cartons for national quick service restaurant brands.
The Yeadon-based company has been acquired by LBP Manufacturing, LLC, a global producer of sustainable food and beverage packaging. Financial terms of the transaction were not disclosed.
Union Packaging operates out of a 78,000-square foot manufacturing facility producing environmentally friendly sandwich clamshell, fly-pod and folding cartons. The company has about 63 employees.
“I approached the market. It was at a point where it made sense,” Pearson said of his decision to sell the company. “Finding someone to sell to that held the same values as my company was important in terms of how it treated employees and what it was trying to do in the market.”
“Mike and his team have built Union Packaging into a market leader in the food packing market segment,” Matt Cook, CEO of LBP said in a news release.
“The company’s culture of customer service and commitment to innovation align with LBP’s core values. We are excited to add the Union Packaging business to LBP.”
Based in Chicago, LBP is owned by Pritzker Private Capital and management. LBP has facilities in the U.S., Poland and China.
The acquisition of Union Packaging “will allow LBP to better serve its customers by rounding out the company’s portfolio of folding carton and corrugated packaging products,” said Thomas Chadwick, vice president at Pritzker Private Capital.
As part of the deal, Pearson will consult with LBP during the transaction. Long term, he will continue focusing on investing in real estate and development of properties in metropolitan areas.
“Regardless of where I am personally, there still is a long journey for entrepreneurs of color,” said Pearson, a native of West Philadelphia.
“It is far more difficult for us to access capital, to grow, expand with customers and I hopefully along the way have been able to mentor other entrepreneurs in the hopes that they can someday exit businesses (and) create wealth.”
After he exited a corporate packaging career with Westvaco, Pearson launched Union Packaging in 1999 with a mission of providing economic opportunities for others. He’s proud that his employees have developed skills and earn livable wages that have enabled them to purchase homes and put their children through school.
Pearson was recently named as a finalist for the 2019 Ernst & Young’s Entrepreneur of the Year Award, which recognizes entrepreneurs and leaders of high-growth companies who are excelling in areas such as innovation, financial performance and personal commitment to their businesses and communities.