The Australian packaging giant has entered into a strategic agreement to acquire Bemis, a U.S. manufacturer flexible and rigid plastic packaging for food, consumer products, medical and pharmaceutical companies for USD 6.8 billion. Combining the two complementary companies will create a global leader in consumer packaging.
The transaction will be effected at a fixed exchange ratio of 5.1 Amcor shares for each Bemis share, resulting in Amcor and Bemis shareholders owning approximately 71% and 29% of the combined company, respectively. Combined revenues are stated at USD 13 billion, with EBITDA of USD 2.2 billion and annual cash flow after capital expenditure of more than USD 1 billion.
Headquartered in Neenah, Wisconsin/USA, about 70% of Bemis’s revenue is in North America from customers that include some of the biggest names in consumer products, such as Unilever NV, Tyson Foods Inc. and Johnson & Johnson. The manufacturer makes lids, bags, pouches, wraps and labels for everything from pet and baby foods to bread, coffee and raw meat.
New Amcor will continue to maintain a critical presence in Wisconsin and other key Bemis locations. The combined company also expects to leverage Bemis’ plant network and innovation center while continuing to invest in the US.
Headquarteed in Melbourne/AUS, Amcor is a global leader in developing and producing packaging solutions. With a global workforce of 35,000 people, the enterprise generates more than USD 9 billion in sales from 200+ locations in more than 40 countries.