Packsize is set to expand its position in right-sized packaging automation after agreeing to purchase the packaging operations of Panotec, the Italy-based manufacturer of packaging machines designed for both high- and low-automation environments. The financial terms of the transaction have not been disclosed.

The deal will broaden Packsize’s machine portfolio and increase the scale of its installed customer base across more than 50 countries, including markets in North America, Europe and other regions. For businesses seeking to optimise corrugated packaging operations, the move signals further consolidation in a sector shaped by e-commerce growth, labour pressure, material costs and sustainability targets.

Right-sized packaging is becoming a strategic tool for companies that want to reduce waste, improve fulfilment efficiency and control logistics costs.

Panotec has built its reputation around equipment that produces packaging closer to the dimensions of the product being shipped. This approach helps reduce excess corrugated board, minimise void fill and improve transport efficiency. For distribution centres and manufacturers handling varied product sizes, automated or semi-automated right-sized systems can create operational value by reducing manual work and improving packaging consistency.

Packsize has long focused on on-demand packaging systems that allow companies to create custom-sized corrugated boxes at the point of packing. By adding Panotec’s operations, the company will gain further flexibility in serving customers with different automation needs, production volumes and fulfilment models. The acquisition is expected to support a wider range of packaging line configurations, from lower-throughput environments to large-scale automated operations.

The planned purchase follows Packsize’s acquisition of Sparck Technologies in April 2025. That deal brought together Packsize’s service and technology capabilities with Sparck’s fit-to-size box systems, as well as its box last and lid-and-tray solutions. The addition of Panotec continues the same strategic direction: building a broader global platform for automated corrugated packaging.

For brand owners, retailers, third-party logistics providers and industrial manufacturers, the value proposition is increasingly clear. Oversized packaging creates unnecessary material use, higher shipping costs and poorer customer experience. It can also increase emissions by reducing the number of parcels that fit into transport vehicles. Right-sized packaging systems address these issues by aligning box dimensions more closely with product requirements.

• Material efficiency reduces corrugated board consumption and packaging waste.
• Lower void fill supports cleaner packs and better product presentation.
• Transport optimisation can improve pallet, container and vehicle utilisation.
• Automation flexibility helps companies match equipment to fulfilment needs.
• Global service scale becomes more important as customers standardise packaging operations across regions.

The transaction also reflects wider market demand for packaging systems that reduce cost while supporting sustainability goals. Companies are under pressure to limit packaging waste, manage freight expenses and respond to consumer concerns about excessive parcel packaging. At the same time, labour availability and fulfilment speed remain major challenges, particularly in e-commerce and omnichannel retail.

Packsize’s chief revenue officer Brian Reinhart said the acquisition strengthens the company’s ability to offer more flexibility and choice to businesses looking to optimise packaging operations while reducing waste and cost. Panotec vice-president Carlo Capoia also highlighted the opportunity to combine company strengths and provide a broader product selection and service offering to the markets served.

Completion of the deal remains subject to standard closing requirements, including regulatory clearances and consultation procedures with the unions concerned. Once finalised, the transaction would give Packsize a deeper equipment base and a larger installed footprint at a time when packaging automation is becoming central to supply chain competitiveness.

The acquisition also follows Packsize’s expanded collaboration with Veritiv Operating Company, announced in March, targeting growth in automated corrugated packaging. Together, these moves show how the market is shifting towards integrated solutions that combine machinery, service, software, material reduction and operational efficiency.

For the packaging industry, the Packsize-Panotec deal underlines a simple trend: right-sized packaging is no longer a niche sustainability concept. It is becoming a mainstream operational strategy for companies that want to ship products with less waste, less air and better cost control.