Pregis's Big Bet: Paper Packaging to Conquer the Booming Cold Chain Market

CHICAGO, IL – August 06, 2026

In a move that signals a significant shift in the logistics of temperature-sensitive goods, global packaging supplier Pregis has acquired MP Global Packaging, a specialist in paper-based thermal solutions. While acquisitions in the packaging sector are common, this particular deal is a telling indicator of a much larger trend: the collision of explosive market growth with an urgent, non-negotiable demand for sustainability. Pregis is not just buying a company; it is acquiring a strategic foothold in the future of logistics, betting that fiber and paper can displace the mountains of foam that currently define the cold chain.

A Market Ripe for Disruption

The cold chain packaging market is no longer a niche segment. It is a booming global industry, with projections estimating its value will more than double from roughly $35 billion in 2025 to over $70 billion by 2030, expanding at a compound annual growth rate approaching 15%. This explosive growth is fueled by two powerful engines: the proliferation of advanced biopharmaceuticals and vaccines that require strict temperature control, and the relentless expansion of e-commerce into fresh food and grocery delivery.

Historically, the industry's go-to solution has been Expanded Polystyrene (EPS), commonly known as Styrofoam. While effective at insulation, EPS is an environmental bottleneck—bulky, derived from petroleum, and notoriously difficult to recycle, often ending its single-use journey in a landfill. As corporations and consumers alike intensify their focus on environmental impact, the demand for a viable, curbside-recyclable alternative has reached a fever pitch. This is the strategic opening Pregis aims to fill.

Doubling Down on a Proven Fiber Playbook

For Pregis, this acquisition is not a speculative leap but a calculated execution of a well-defined strategy. The move aligns perfectly with the company's ambitious 'Purpose and 2K30 commitment,' a set of goals aimed at embedding sustainability into the core of its business. These goals include making 100% of its products recyclable or reusable and preventing millions of trees from being harvested through the use of recycled fiber. With over half of its 2025 revenue already derived from sustainable products, Pregis has demonstrated a clear path toward these objectives.

This strategy is built on a proven playbook. In 2020, Pregis acquired the technology behind its EverTec® paper mailers. By applying an “investment-led, growth-oriented approach,” it scaled that operation from a single concept into a powerhouse producing over one billion mailers annually across five dedicated facilities. The company now plans to replicate this success in the cold chain sector.

“Sustainable, fiber-based materials are an increasingly important part of our portfolio, and cold chain packaging is a natural extension of that strategy,” said Kevin Baudhuin, Chairman and CEO of Pregis. “This acquisition brings proven technology, deep expertise, and an experienced team that will help accelerate our ability to scale paper-based thermal solutions and support customers in achieving their own sustainability goals.”

The Technology at the Core: From Cardboard to Cold Chain

The technology Pregis has acquired is both simple in concept and sophisticated in application. MP Global's solution uses macerated cardboard to create a highly effective thermal insulation liner. This material provides the necessary protection for temperature-sensitive shipments while being fully curbside recyclable, a critical differentiator in today's market. It directly addresses the end-of-life problem that plagues traditional cold chain materials.

The acquisition includes two manufacturing facilities in New Albany, Indiana, and Norfolk, Nebraska, along with a team of approximately 110 employees. Leading this integration is Reid Borgman, who headed the division at MP Global and now joins Pregis as Vice President & General Manager of Cold Chain. His continuity ensures that deep product expertise is carried over and amplified by Pregis’s scale.

“Becoming part of Pregis brings more resources and reach to the customers we serve and our employees,” Borgman noted. “Together, we can advance innovation in fiber-based cold chain and expand our portfolio of solutions that deliver the performance, protection and sustainability the market relies on.”

Shifting the Competitive Landscape

With this move, Pregis is wading into a competitive but fragmented market. It will now go head-to-head with other innovators in the sustainable packaging space, such as Ranpak, which offers its own paper-based thermal liners, and Vericool, known for its plant-based, compostable coolers. At the same time, Pregis is positioning itself as a formidable sustainable challenger to industry giants like Sealed Air, which have traditionally relied on a broader range of materials.

By integrating a proven, paper-based thermal solution and applying its formidable scaling capabilities, Pregis is doing more than just expanding its product catalog. It is making a clear statement about the future of protective packaging, where performance and sustainability are no longer competing priorities but two sides of the same coin. The success of this venture will be a key barometer for how quickly the entire logistics industry can pivot toward a more circular and responsible model.