The global packaging industry has shown remarkable resilience in the first quarter of 2026, with merger and acquisition activity holding steady even as concerns over the escalating US-Iran conflict ripple through supply chains and energy markets. Despite widespread predictions that geopolitical instability might slow deal-making, packaging companies continued to pursue strategic consolidations, focusing on regional expansion, capability enhancement, and long-term growth in a sector driven by e-commerce demand, sustainability pressures, and shifting consumer preferences.
Packaging Dive’s comprehensive M&A tracker recorded 36 deals announced in North America during Q1 2026, a slight increase from 34 deals in the same period of 2025. Activity remained consistent even after the Iran conflict intensified in late February, with 14 transactions announced in March alone compared to 13 the previous year. This steady pace underscores the sector’s underlying strength, as companies seek scale, diversified capabilities, and improved positioning amid economic uncertainties.
Leading the charge were two active consolidators: CCL Industries and SupplyOne, each completing multiple acquisitions during the quarter. SupplyOne, a prominent value-added distributor with corrugated converting capabilities, made headlines in March with its acquisition of Specialty Packaging, LLC, based in East Hartford, Connecticut. This marked SupplyOne’s 47th acquisition since its founding in 1998, significantly strengthening its footprint in New England while adding expertise in food and protective packaging solutions. The deal enhances SupplyOne’s ability to serve customers across the Northeast with customized packaging options, aligning with its long-term strategy of geographic expansion and service diversification.
CCL Industries, a global leader in specialty labels and packaging solutions, also announced two key deals in Q1, including a binding option agreement to acquire Sleever, a company specializing in shrink sleeve technology. These moves reflect CCL’s focus on bolstering its technical capabilities in high-growth areas such as sustainable and innovative labeling solutions that meet evolving regulatory and brand demands.
Broader industry data supports this positive momentum. Global packaging M&A opened 2026 with around 30 deals in January, in line with historical averages and driven particularly by activity in paper and rigid packaging subsectors. Add-on acquisitions accounted for a significant portion, highlighting how larger players continue to tuck in smaller, complementary businesses to build scale without massive upfront risk. Private equity interest remained healthy, with median EV/EBITDA multiples for reported deals rising modestly to 13.7x, signaling sustained investor confidence in the sector’s fundamentals.
Analysts note that while larger megadeals may be less frequent in 2026 due to higher financing costs and caution around global risks, smaller and mid-sized strategic transactions are filling the gap effectively. The packaging distribution segment, in particular, is emerging as a hotspot for consolidation, with platforms aggressively expanding to capture fragmented regional markets. Sustainability regulations and the continued rise of e-commerce further fuel demand for innovative, efficient packaging solutions, making targeted acquisitions an attractive path for growth.
Even with oil price volatility and potential supply chain disruptions stemming from Middle East tensions, packaging firms appear focused on resilience. Many companies are prioritizing deals that enhance domestic or near-shore capabilities, reduce dependency on volatile raw materials, and improve overall operational efficiency. This measured approach has allowed the industry to navigate early 2026 uncertainties without a sharp drop in activity.
As the year progresses, industry observers expect M&A to remain active, potentially accelerating if geopolitical concerns ease or if economic conditions stabilize. For packaging leaders, the first-quarter performance demonstrates that strategic consolidation continues to serve as a reliable tool for driving shareholder value and adapting to a complex global environment. With SupplyOne and CCL Industries setting the tone through their proactive deal-making, the sector looks well-positioned to maintain momentum through the remainder of 2026 and beyond.
