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AEP Industries Buying Plastic Film Unit

Plastic packaging company will pay $87 million to acquire nearly all the assets of the plastic films segment of Atlantis Plastics Inc.

SOUTH HACKENSACK, N.J. (AP) -- Plastic packaging company AEP Industries Inc. said Monday it will pay $87 million to acquire nearly all the assets of the plastic films segment of Atlantis Plastics Inc.

New Jersey-based AEP Industries said the deal complements its existing businesses.

The plastic films segment at Atlantis Plastics, based in Atlanta, operates three divisions: stretch films, custom films and institutional products. Its products are used in a variety of fields, including storage, transportation, food packaging and other commercial and consumer applications.

The transaction is expected to close during the fourth quarter. At that time, the plastic films segment, which operates six manufacturing facilities throughout the United States, will be part of AEP's stretch and custom films divisions.

Shares of the company added 83 cents, or 4.8 percet, to $18.23 in morning trading.

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