ZURICH (News release) -- Amcor announced it has entered into an agreement to acquire Shanghai-based MDK. MDK generates annual sales of approximately $50 million and is a leading provider of medical device packaging, a key priority growth segment for Amcor.

MDK's coating capabilities, medical paper-based packaging offerings and customer base complements Amcor's existing portfolio, further enhancing its leading position in the Chinese medical device packaging market. The addition of MDK also strengthens Amcor's leadership in the broader Asia Pacific medical packaging segment, which now comprises four manufacturing sites serving the China, India, Japan and Southeast Asia markets.

"As Amcor continues to sharpen its focus on higher growth priority segments, the addition of MDK will enhance our already strong healthcare platform in the Asia Pacific region," said Amcor CEO Ron Delia. "MDK's talented team brings strong capabilities and a complementary product and customer portfolio. We look forward to working together to unlock value creation opportunities for customers in this fast-growing, high-value segment, which we believe will help us continue to deliver strong returns for our shareholders."

The acquisition of MDK follows the recent opening of Amcor's new world class Asia Pacific Innovation Center in Jiangyin, China, and the introduction last year of a state-of-the-art dedicated healthcare packaging facility in Singapore.

The acquisition is subject to customary regulatory approvals and is expected to close in the March 2023 quarter.