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CKL 70.5¢

Speculating a possibility

  1. bottomfeeder1

    1,046 Posts.

    When I really think about it the most logical merger would be CKL and PPG!

    PGH is a great plastics packaging business. I do not believe throwing in other forms of packaging would benefit its model.

    Hence the strategy could well be;
    PPG merge with CKL. PPG can then become the distribution arm of CKL and be able to go to customers with a whole of packaging solution. PPG's rigid plastics business is a dog and the best solution would be to close it down and get PGH to manufacture on behalf of PPG making PPG a pure distribution player on the rigid's side.

    PPG has more in common with CKL than does PGH!

    Without checking the details Ruffy Owns 47.64% of PPG personally its not PGH that owns PPG. and Ruffy also owns 16.09% of CKL personally once again not through PGH.

    Keeping in mind PPG and CKL do not compete with PGH so Ruffy holding these investments personally is not a conflict, however if PGH was to acquire any of these businesses it may well be considered a conflict.

    My view combining PPG and CKL will increase the critical mass of the business and re-rate the total enterprise.

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