Amcor buying competitor Bemis for $5.25 billion
Canadian Plastics
PackagingThe deal gives Melbourne, Australia-based Amcor new products, particularly the food-packing film for which Bemis is known, as well as deeper access to the Americas.
Amcor Ltd., said to be the world’s biggest packaging supplier, is buying flexible packaging maker and competitor Bemis Co. Inc. in a $5.25 billion all-stock deal.
The deal gives Melbourne, Australia-based Amcor new products, particularly the food-packing film for which Bemis is known, as well as deeper access to the Americas.
Headquartered in Neenah, Wis., Bemis is a global manufacturer of flexible packaging products and pressure-sensitive materials.
“Amcor identified flexible packaging in the Americas as a key growth priority and this transaction delivers a step change in that region,” Amcor CEO Ron Delia said in a statement announcing the deal. “The strategic rationale for this combination and the financial benefits are highly compelling for both Amcor and Bemis shareholders. We are convinced this is the right deal at the right time for both companies.”
Amcor’s Flexibles America unit is located in Buffalo Grove, Ill.
The deal is the largest acquisition ever by Amcor, which began operations as a paper miller in the 1860s. It is also the company’s 12th deal the last two years. Amcor operates in 43 countries worldwide, has 35,000 employees.
The Bemis acquisition is subject to regulatory and stockholder approval, and is scheduled to close in the first quarter of next year.
