Dallas, Texas – April 1, 2025 – Sky Island Capital (“Sky Island”), a Dallas-based lower middle market private equity firm, is pleased to announce that its portfolio company, Pacific Paper Tube Inc. (“Pacific Paper Tube”), has acquired Paper Tubes and Sales Co. (“Paper Tubes and Sales” or “the Company”). Founded in 1976 and headquartered in Dallas, Texas, Paper Tubes and Sales is one of the largest independent manufacturers of paper cores, tubes, and composite cans in the United States. The Company has been owned and operated by Scott Stewart and his family since its inception.
“Paper Tubes and Sales is an excellent addition to the Pacific Paper Tube platform. The Company’s founder, Scott Stewart, and his team have built a great business that has always put the customer first and produced first-rate products with unmatched service which we plan to continue under our combined stewardship,” said Casey Wallace, CEO of Pacific Paper Tube. “The acquisition of Paper Tubes and Sales will play an integral role in Pacific Paper Tube’s growth strategy. The Company’s paper tubes and cores division will expand Pacific Paper Tube’s geographic reach, while the composite cans division will complement our existing product offerings.”
Scott Stewart, owner of Paper Tubes and Sales, commented, “I am thrilled to find the right home for Paper Tubes and Sales. The Pacific Paper Tube’s team has created an excellent culture and strong brand in our industry, and our tubes and cores and composite cans will make a great addition to Pacific Paper Tube’s existing product offerings.”
Paper Tubes and Sales serves a diverse range of customers across the United States, ranging from multinational corporations to small, family-owned businesses. The Company manufactures paper tubes and cores, similar to Pacific Paper Tube’s current product offering, as well as composite cans which serve a variety of industries, including most notably packaging for snack food, seasonings and spices, insecticides, baking and drink mixes, and cans for coffee grounds, among other uses. Paper Tubes and Sales operates out of a 120,000 square foot facility with more than 40 employees.
Paper Tubes and Sales is Pacific Paper Tube’s second add-on acquisition.
About Sky Island Capital
Sky Island Capital (www.skyislandcap.com) is a lower middle market private equity firm headquartered in Dallas, Texas that focuses exclusively on partnering with privately held manufacturing companies in North America. Sky Island was born out of the desire to work alongside entrepreneurs and family business owners to serve as a resource and strategic partner with one goal in mind – growth. Sky Island focuses on situations where it can draw upon its deep operational and management experience to support senior management in driving significant value creation through operational and strategic partnership.
Sky Island is currently investing out of its second fund and is actively looking for new manufacturing partnerships.
About Pacific Paper Tube
Founded in 1989, Pacific Paper Tube is the largest independent manufacturer of sustainable paper tubes and cores on the West Coast. Pacific Paper Tube’s products are used for a variety of purposes, including the transportation of materials and consumer goods, the construction of architectural columns, and the packaging of products for sale to end consumers. Since its founding nearly 35 years ago, the Company has prided itself on providing best-in-class product quality and customer service to the tube and core market and has established a reputation as a leading provider in the industry. Pacific Paper Tube is headquartered in Stockton, California and maintains other facilities in Las Vegas, Nevada, Kent, Washington, and Portland, Oregon.
For more information, please contact Will Dobbs or visit the website listed below:
Will Dobbs
Partner
