Butterfly Acquires ePac, Deepening Its 'Seed to Fork' Food Strategy

LOS ANGELES, CA – January 15, 2026

Butterfly Equity, a private equity firm with a laser focus on the food and beverage industry, has completed its acquisition of ePac Flexible Packaging, a global leader in the digitally printed packaging space. The move, announced today, marks Butterfly’s first major foray into the packaging market and signals a significant expansion of its signature “seed to fork” investment philosophy, integrating a critical component of the food value chain into its growing ecosystem.

Packaging Becomes the New Frontier in 'Seed to Fork' Investing

The acquisition represents more than just a new portfolio company for Butterfly; it is a strategic deepening of its core investment thesis. The Los Angeles-based firm has built a diverse portfolio, valued at approximately $9 billion in enterprise value, by investing across the entire food landscape—from agriculture and aquaculture with companies like Pacifico Aquaculture to consumer brands such as Chosen Foods, Orgain, and Bolthouse Farms, and even foodservice with the fast-casual chain QDOBA. This acquisition brings the crucial element of packaging directly into its sphere of influence.

For a firm that prides itself on a "seed to fork" approach, packaging is the logical next frontier. It is the final touchpoint before a product reaches the consumer, influencing brand perception, shelf life, and supply chain efficiency. By investing in ePac, Butterfly gains access to a technology-driven leader that can serve its existing portfolio companies and tap into the broader consumer-packaged goods (CPG) market. This vertical integration provides a powerful strategic advantage, potentially offering Butterfly's food and beverage brands preferential access to agile, high-quality packaging solutions that can accelerate their speed to market.

"We’re thrilled to partner with the ePac team as Butterfly’s first platform investment into the packaging market – a critical component of the food value chain," said Butterfly Partner and Head of Investment Team, Vishal Patel, in a statement. "Our deep and specialized expertise in food end markets will enable ePac’s growth while reinforcing its commitment to outstanding customer service for the leaders and innovators in food and other categories."

ePac's Digital Disruption and the Democratization of Packaging

Founded in 2016, ePac has rapidly carved out a leadership position by fundamentally challenging the conventions of the traditional packaging industry. Its business model is built on advanced digital printing technology, which bypasses the costly and time-consuming processes of conventional methods, such as the creation of printing plates. This innovation has effectively democratized access to professional-grade flexible packaging for brands of all sizes, particularly empowering the small and medium-sized enterprises that are driving much of the innovation in the CPG space.

The engine behind this disruption is ePacONE (One Network Everywhere), a proprietary technology platform that connects the company's 14 facilities across the U.S. and Canada into a single, virtual manufacturing network. This integrated system allows for seamless load-balancing and order fulfillment from the facility closest to the customer, drastically reducing shipping times and costs. For CPG brands, the benefits are transformative: turnaround times are slashed from months to a matter of 10-15 business days, minimum order quantities are low, and there are no setup fees. This agility allows brands to launch new products, run seasonal promotions, and react to market trends with unprecedented speed.

“Over the past decade, ePac has redefined the packaging model by putting the most advanced technology in the hands of the world’s most innovative brands,” said Virag Patel, CEO of ePac, who will continue to lead the company and has retained a significant ownership stake. “By partnering with Butterfly, we enter a new phase of acceleration. This partnership allows us to continue disrupting the industry while leveraging Butterfly’s connectivity throughout the food & beverage ecosystem.”

A Strategic Exit in a Robust M&A Market

The transaction also marks a successful exit for ePac's prior investor consortium, which included packaging giant Amcor and Indevco North America. Amcor, a global leader in its own right, had previously made a strategic minority investment in ePac, signaling its confidence in the digital model. The divestment comes at a time of high activity and strong valuations in the packaging M&A market.

While terms of the deal were not disclosed, the financial context for packaging assets is exceptionally strong. Recent industry data shows valuation multiples for food packaging transactions climbing to around 11.1x EV/EBITDA. The sector has seen a flurry of high-value deals, including International Paper’s $9.9 billion acquisition of DS Smith, underscoring intense investor interest. For Amcor and the other investors, the sale to Butterfly represents a timely realization of their investment, capitalizing on ePac’s proven growth trajectory and the favorable market climate. The move allows Amcor to focus on its own core strategies while having profited from nurturing a disruptive force in the industry.

This vibrant M&A landscape reflects a broader recognition of packaging's essential role and its potential for technology-driven growth. “The Company’s visionary management team has demonstrated a strong track record of execution, and we believe the combination of seamless technology, speed of service and an obsessive focus on the customer experience has created a scalable foundation for continued growth,” noted Eric Tommarello, Managing Director at Butterfly.

The Future is Flexible, Digital, and Sustainable

Butterfly’s investment is a strong bet on the enduring trends reshaping the packaging industry. The rise of e-commerce, the proliferation of SKUs, and consumer demand for personalized products have created a market where the rigidity of traditional printing is a liability. Digital printing, with its capacity for short runs and variable data, is uniquely suited to meet these modern demands.

Furthermore, sustainability has become a non-negotiable priority for brands and consumers alike. Here again, ePac’s digital model offers distinct advantages. The process generates significantly less energy, material waste, and carbon emissions compared to analog printing. More importantly, its "order to demand" capability drastically reduces packaging obsolescence—a major source of industrial waste. The company has also been proactive in offering sustainable material options, including recyclable, mono-material films that help brands meet their circular economy goals without compromising on product protection or shelf appeal.

With the backing of a food-focused specialist like Butterfly, ePac is poised to accelerate its expansion and technological development. The partnership will likely unlock new synergies, allowing ePac to further penetrate the food and beverage market while providing Butterfly's portfolio companies with a competitive edge. This acquisition is not just a transaction; it is a clear statement on the future of the food industry, where agile, digital, and sustainable packaging is no longer an option, but a core strategic imperative.