Added Value Solutions
Highcon has announced an $8 million investment by Sealed Air Corporation (SEE) in the context of a strategic collaboration between the two companies. The scope of the strategic collaboration includes the following components:
Developing new product offerings, expansion into new segments and enabling manufacturing efficiencies by leveraging Highcon technology.
$8 million investment in the form of convertible debt and 15% warrants to be converted by the fifth anniversary of the Effective Date at a price of 3.1 NIS per share.
Additional warrants to be granted against possible future purchases up to $20 million of Highcon’s products and services over a period of three years.
SEE is in business to protect, solve critical packaging challenges, and ‘make our world better than we find it’. It has identified that Highcon’s digital paperboard converting capabilities and its knowhow around laser cutting of paperboard, can support and accelerate the vision and business objectives.
The strategic collaboration includes the purchasing of a Beam 2C system for delivery and installation in the first quarter of 2023. The in-house presence of the system will allow SEE to accelerate the testing of new designs and products, as well as the manufacturing and delivery of corrugated products to the company’s customers.
‘Over the past months, the SEE team has been really impressed with the talent at Highcon and the company’s culture. Highcon’s technology and capabilities represent a meaningful opportunity for SEE,’ said Sergio Pupkin, senior vice president and chief growth and strategy officer, SEE. ‘Highcon’s sustainability value proposition aligns with and can help us advance our vision and plans. The roadmap we are developing together is exciting, and our investment in Highcon is a natural first step in this context.’
‘SEE is taking Highcon’s technology to places that were beyond the way that we typically defined our market opportunity. Growing that opportunity, entering new application spaces, and working together with a world class partner is very exciting,’ said Shlomo Nimrodi, Highcon’s CEO. ‘It is particularly gratifying to see how SEE reacted to the talent and passions of the team, and the recognition of the strategic value of our technology. I am confident that it is just the beginning as we prove our value to SEE to enable further expansion of our relationship. I am proud of what we have built so far, and with this strategic partnership, we can move farther and faster. We are certainly expecting that this collaboration will have positive impact on the company’s existing business.’
In recent months, teams from the two companies have collaborated to explore the application of solutions and technology to a range of different activities.
