Walmart Expands Ranpak Agreement, Shares Jump 28%

Ranpak shares surged 28% after expanding its agreement with Walmart. The retail giant will install Ranpak's AutoFill systems in its fulfillment centers to streamline packaging and reduce waste. The AI-powered system distributes paper filler into boxes, preventing items from jostling during delivery. Walmart will deploy the systems in four US locations, having already implemented them in one center.

Ranpak Holdings Corp. (NYSE: PACK) saw its stock price surge by 28% following the announcement of a significant expansion of its agreement with Walmart. The retail giant will deploy a substantial number of Ranpak AutoFill™ systems across its Next Generation Fulfillment Centers, aiming to enhance fulfillment speed and reduce packaging waste [1].

Under the new multi-year agreement, Walmart will install the AutoFill™ systems in five of its fulfillment centers, including Greencastle, PA, Joliet, IL, Lancaster, TX, and Stockton, CA, in addition to the existing McCordsville, IN center [1]. This strategic move is part of Walmart’s ongoing investment in automation, which aligns with its commitment to reducing friction for associates and optimizing performance across the supply chain [1].

The AutoFill™ system, introduced in 2021, is a fully automated solution that uses AI-powered machine vision technology to precisely measure voids in packages. This enables the optimal amount of paper filler to be dispensed, significantly reducing waste and shipping contents damage while improving throughput [1]. By streamlining the end-of-line packaging process, the AutoFill™ system allows Walmart to ship customer orders faster and enables fulfillment center associates to focus on more efficient order fulfillment [1].

Vik Gopalakrishnan, Senior Vice President of Automation Engineering at Walmart, emphasized the benefits of the collaboration, stating, "At Walmart, we are constantly seeking solutions that increase the speed of service for our customers and simplify work for our associates. Ranpak’s AutoFill™ system offers us a meaningful way to reduce packaging waste and get our products into our customers’ hands faster" [1].

Ranpak, founded in 1972, has a mission to deliver sustainable packaging solutions that improve supply chain performance and reduce environmental impact. The company's extensive line of paper-based products and advanced automation systems have helped businesses transition away from plastic packaging [2].

References:
[1] https://finance.yahoo.com/news/ranpak-walmart-join-forces-roll-113000501.html
[2] https://www.businesswire.com/news/home/20250826575592/en/Ranpak-and-Walmart-Join-Forces-to-Roll-Out-Automated-Technology-and-Sustainable-Packaging-Collaboration