Cascades announces the sale of its Flexible Packaging plant activities to Five Star Holding for CAN$31 million

Executive Summary

• Cascades Inc. agreed to sell its Flexible Packaging plant activities in Mississauga, Ontario to Five Star Holding for CAN $31 million, effective immediately.
• The transaction will reduce Cascades’ debt and allow it to focus on strategic sectors; the 45‑person workforce will be retained by Five Star.
• A supply agreement accompanies the sale to ensure continued production of flexible film for Cascades’ Tissue and Packaging divisions.

Key Details

• Transaction Value: CAN $31 million cash consideration.
• Assets Sold: All Flexible Packaging plant operations (manufacturing printed flexible plastic packaging and films) located in Mississauga, Ontario; Cascades retains ownership of the real‑estate site.
• Employees: 45 employees currently at the plant will be retained by Five Star upon closing.
• Effective Date: Immediate effect as of announcement date (Oct 8 2025).
• Supply Agreement: Includes a downstream supply agreement ensuring continued provision of flexible film to Cascades’ Tissue and Packaging sectors.
• Strategic Rationale: Proceeds will be used to reduce debt and optimize Cascades’ operational platform, enabling growth in its core strategic sectors.
• Buyer Profile: Five Star Holding, based in Houston, Texas, manufactures a broad range of flexible packaging, printed films, and sustainability programs; operates facilities in Canada, Mexico, and Honduras.

Notable Quotes

• “Today's decision will allow us to reduce our debt and support the optimization of our operational platform to grow our strategic sectors.” – Hugues Simon, President & CEO, Cascades.
• “This acquisition will accelerate our growth in sustainability‑focused packaging for consumer, food and beverage markets in Canada and throughout North America.” – Alex Huis In ’t Veld, CEO, Five Star Holding.