Novolex is owned by another private equity firm, Wind Point Partners. Novolex’s products include plastic bags and paper shopping bags used in grocery stores, retail shops and elsewhere in the food services industry. Wind Point bought Novolex for an undisclosed price in 2012 when it was called Hilex Poly.
As always, the talks could fall apart and may not lead to a transaction.
There have been a number of paper-and-packaging deals of late. In June, Ball bought beverage can maker Rexam for more than $ 6 billion.
Carlyle already owns a number of packaging companies. Its Multi Packaging Solutions International, which makes products for the healthcare and consumer markets, went public last year. In 2014, Carlyle acquired Signode Industrial Group, a producer of industrial packaging products that protect and strap goods together during shipping.
High corporate valuations, by and large, are making it harder for private-equity firms to make acquisitions, officials say. “We are regularly beaten out by our competitors, and [corporate acquirers] and the public market,” Carlyle co-chief executive Bill Conway said on a conference call in October.
—Matt Jarzemsky contributed to this article.
This article was first published by The Wall Street Journal