The first half of 2025 has proven to be a dynamic period for mergers and acquisitions (M&A) in the global packaging industry. From headline-making deals like Amcor’s merger with Berry to a steady stream of mid-market transactions, the sector continues to attract interest from both strategic and financial buyers. According to insights from PMCF Investment Banking, the upward momentum observed in 2024 has extended into 2025, shaping a robust and diversified M&A landscape.

In 2024, the packaging M&A market saw 322 transactions—a 9% increase from the previous year—fueled largely by cross-border activity, which accounted for over half of all deals. Strategic buyers led the charge, though private equity firms were increasingly active, especially in add-on and platform acquisitions. Despite a continued decline in paper packaging deals, specialty paper and corrugated segments remained relatively resilient.

Fast forward to H1 2025, and the trend continues: 198 plastics and packaging deals have already been completed, surpassing the 180 recorded during the same period in 2024. While large-scale mergers are still tempered by macroeconomic uncertainty, the market has been driven by a flurry of smaller, high-value transactions—particularly in rigid packaging, protective packaging, printing, and labeling.

Subsectors Attracting Buyer Attention

Several packaging subsectors have emerged as hotbeds of activity. Rigid and protective packaging are gaining traction due to their durability and importance in logistics. Meanwhile, paper packaging continues to benefit from regulatory momentum favoring alternatives to plastics, drawing attention from both strategics and private equity.

In fact, private equity has become a major force, especially in the add-on acquisition space. In H1 2025, PE firms completed 48 such deals, up from 45 a year earlier. The Food & Beverage sector is also proving especially attractive, offering stability and consistent demand—key attributes in today’s uncertain economic environment.

Strategic vs. Private Equity Buyers: What Sellers Should Consider

For business owners contemplating a sale, choosing between a strategic buyer and a private equity firm is pivotal. Strategic buyers—typically competitors or adjacent market players—may offer higher valuations driven by synergies, but often require full ownership and integration, which could significantly alter company culture and leadership.

In contrast, private equity firms often encourage partial equity retention and ongoing involvement from the existing management team, offering sellers a second opportunity for profit in a future sale. This route appeals to owners seeking liquidity while remaining actively engaged in their business’s growth journey.

The Importance of Early Planning and Sector Expertise

Experts recommend initiating discussions with M&A advisors 12 to 36 months before an intended sale. This allows time for value-enhancing preparation, operational alignment, and risk mitigation. Proper planning can help businesses align with market expectations and attract premium buyers.

An advisor’s industry-specific expertise adds considerable value in such a complex and segmented market. Packaging-focused advisors understand the nuances of materials, production technologies, customer bases, and regulatory landscapes. They can identify the most relevant buyers, run tailored sale processes, and anticipate sector-specific risks like material price volatility or ESG compliance pressures.

Moreover, established industry advisors have longstanding relationships with key decision-makers, allowing them to orchestrate competitive sale processes that maximize valuation and deal terms while ensuring confidentiality and alignment with seller objectives.

Conclusion

As 2025 progresses, the packaging M&A landscape remains active and evolving. With strong deal flow, rising interest in sustainable packaging assets, and active participation from both strategic and financial buyers, the sector presents abundant opportunities for business owners and investors alike. For those considering a transaction, early planning and expert guidance will be key to unlocking the full value of their business in a dynamic market.