Rengo Co., Ltd. (Head Office: Kita-ku, Osaka; Chairman, President & CEO: Kiyoshi Otsubo) announces that it has completed an investment for a 20% stake in TC Flexible Packaging Co., Ltd. (TCFP), a holding company of a flexible packaging manufacturer established by Rengo's Thai joint venture Thai Containers Group Co., Ltd. (TCG).
In addition, Rengo's wholly owned subsidiary Howa Sangyo Co., Ltd. (Head Office: Funabashi-shi, Chiba; President: Jun Takenaka) has also acquired a 5% holding in TCFP, bringing the combined holdings of the two companies to a total 25%. (Rengo's interest in the company, including indirect holdings, totals 47.5%.)

In May 2014, TCFP completed an investment for a 22% stake in Prepack Thailand Co., Ltd. (Prepack), a leading flexible packaging manufacturer in Thailand, however now their holding has been increased to 72%, making it a subsidiary.

Prepack, a leading producer of flexible packaging products, currently has a production capacity of 14,000 tons per year in the provinces of Samut Songkram and Rayong. Furthermore, by the second half of 2015, it is expecting to commence operations at a new plant in Samut Sakhon province, bringing the total planned annual production capacity to 16,000 tons.

A sharp rise in demand for flexible packaging for food and consumer products, of the type manufactured by Prepack, is forecasted for Southeast Asia. Having started with Prepack, TCFP hopes to expand business in the flexible packaging business in the region.

Moving forward, Rengo hopes to leverage its accumulated flexible packaging expertise and work through TCFP to respond to the various packaging needs of Southeast Asia, with the aim of further strengthening its supply structure.