UFP Packaging Significantly Expands National Pallet Manufacturing Network Across the U.S.

UFP Packaging's Growth in the Pallet Manufacturing Sector

UFP Packaging, a division of UFP Industries (NASDAQ: UFPI), is making significant strides in its national pallet manufacturing network. With two key acquisitions that expand their presence in the Northeast and Upper Midwest, UFP Packaging continues to strengthen its commitment to providing reliable pallet solutions to its national customer base. This strategic expansion is not just a matter of increasing production capabilities; it is about enhancing consistency and reliability in service delivery across the country.

Recently, UFP Packaging acquired the operating assets of three locations of John Rock, Inc., a pallet manufacturer located in Coatesville, Pennsylvania. This acquisition follows closely on the heels of their purchase of Berry Pallets, Inc., based in Waseca, Minnesota. These critical transactions signal a decisive expansion into two of the most vital supply chain corridors in the United States, positioning UFP Packaging to better meet the demands of large, multi-region customers.

According to Scott Worthington, President of UFP Packaging, "These acquisitions are a direct reflection of our strategy — building a network that gives national customers the consistency, reliability, and reach they need, no matter where they operate." By integrating John Rock and Berry Pallets into its operations, UFP Packaging aims to close existing gaps in its presence and improve service for customers seeking large-scale pallet solutions.

The John Rock acquisition adds approximately $82 million in annual revenue and nearly 250 employees to the UFP Packaging network, focusing on the design and manufacture of both new and recycled pallets. And Berry Pallets contributes an additional $23 million in revenue and 75 employees from its Minnesota facility. Together, these acquisitions add over $105 million in annual revenue and bolster the workforce by about 375 employees under the PalletOne network, which is recognized as the largest single-source pallet manufacturer in the nation.

Justin Elwell, Executive Vice President of PalletOne, emphasized the value that John Rock and Berry Pallets bring to the organization. He remarked, "John Rock has built a robust, multi-site operation with strong customer relationships in the Northeast. That kind of regional expertise is precisely what we seek to enhance our operations. Similarly, Berry Pallets brings well-run facilities and a loyal customer base in the Upper Midwest." UFP Packaging's pledge is to provide these businesses with stability, investment, and resources necessary to thrive while preserving the success that has characterized their operations thus far.

Beyond boosting its operational capacity, these acquisitions reflect UFP Industries' commitment to its capital allocation strategy, which focuses on investing in core, higher-margin businesses. By strategically expanding manufacturing capabilities in key markets, UFP Industries is positioning itself for sustained growth and relevance in the increasingly competitive packaging landscape.

UFP Packaging stands out as a leading North American provider of industrial packaging solutions. It is the largest producer of wooden pallets and crates in the United States, known for detailed expertise across various domains, including metal fabrication, corrugated conversion, and labeling. The company's headquarters reside in Grand Rapids, Michigan, a hub of innovation and efficiency. UFP Packaging's diverse offerings allow it to serve as a comprehensive packaging provider, addressing the varied needs of its extensive client base.

With a clear focus on expanding its reach and enhancing service delivery, UFP Packaging is well on its way to redefining the standards of pallet manufacturing in the U.S. Their continued growth initiatives serve as a testament to the organization’s ability to adapt and evolve within a competitive landscape, ensuring they remain a trusted partner in industrial packaging solutions.

For more information about UFP Packaging and its extensive array of industrial packaging solutions, visit UFP Packaging's official website.