BILLIONAIRE entrepreneur Graeme Hart, having almost completed a $4 billion spree on packaging assets in four months, is in talks to buy more of them in the US.

Blue Ridge Paper Products, based in Canton, North Carolina, said Mr Hart's investment vehicle, Rank Group, was in talks to buy the struggling packaging company.

The parties have signed a non-binding letter of intent to negotiate the sale of the businesses which, besides the 1000-employee mill in Canton, includes four DairyPak mills in four other states.

Rank Group in December agreed to buy the drinks packaging division from US giant International Paper (IP), a rival of Blue Ridge, for $725 million.

Rank has also nearly succeeded in a $3.3 billion takeover battle for top Swiss packaging maker SIG.

Blue Ridge, which was saved from closure in 1999 by a union-led buyout, said there was no certainty a transaction would proceed.

There was no comment from Mr Hart.

Blue Ridge, bought by staff and a union-owned rescue company KPS Special Situations Fund, makes paper and liquid packaging products. The four DairyPak carton plants will be of most interest to Mr Hart.

He will almost certain look to close some IP and Blue Ridge plants, although the union owners of the latter may seek some assurances on that front.

If the deal goes through, Rank will become the world's second-largest maker of drink cartons.

Source