Plastipak Wins Bid for Acquisition of APPE
PLYMOUTH, Mich., Nov. 5, 2014 /PRNewswire/ -- Plastipak Packaging, Inc., a leading global manufacturer of rigid plastic packaging, is pleased to announce that it has been selected as the successful bidder to acquire the APPE Packaging Division owned by La Seda de Barcelona Group. The winning bid was EUR 360 million and included a gross up of EUR 65 million of accounts payable that will be transferred with the business, but will be discounted from the bid, and result in an actual consideration for the business of EUR 295 million.
The selection of Plastipak as the winning bidder brings to conclusion a six month competitive process to sell the APPE Packaging Division in connection with La Seda's pending insolvency proceedings. The transaction is subject to the negotiation of binding purchase agreements, regulatory approvals and certain other closing conditions, and is anticipated to close late in the first quarter of 2015.
"We are very pleased to be selected to be the final choice to acquire the APPE Packaging Division," stated Plastipak's Chief Commercial Officer (CCO), Frank Pollock. "We have evaluated the organizational strengths of APPE's business and have completed a comprehensive analysis of APPE's sites, machinery, and intellectual property, and as a result, we are confident that this transaction will enable us to better serve our existing and future customers." He added that APPE's talent and technology will allow Plastipak to bring to its valued customers a complete portfolio of solutions to meet their current requirements and tomorrow's challenges.
William C. Young, President and CEO of Plastipak, stated that "We are continuing to improve our organizational capabilities to earn the confidence and loyalty of our customers in all the categories we serve. This includes investments in packaging that address changing consumer demands and lifestyles. We are excited and look forward to the future with the acquisition of the APPE Packaging Division."
Plastipak Packaging, Inc., a wholly-owned subsidiary of Plastipak Holdings, Inc., is a world leader in the design and manufacture of high-quality, rigid plastic containers for the food, beverage, and consumer products industries. Plastipak operates more than 27 sites in the United States, South America and Europe, with a total of over 4,000 employees. Its customers include some of the world's most respected and recognized consumer brands. Plastipak is also a leading innovator in the packaging industry, holding more than 420 United States patents for its state-of-the-art package designs and manufacturing processes. In addition, Plastipak licenses various packaging technologies around the world. Plastipak was founded in 1967 and is headquartered in Plymouth, Michigan. Additional information about Plastipak can be found at its website www.plastipak.com
Statements in this press release concerning Plastipak's intentions, expectations or predictions about future results or events are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements reflect management's current expectations or beliefs, and are subject to risks and uncertainties that could cause actual results or events to vary from stated expectations, which variations could be material and adverse. Forward-looking statements speak only as of the time made, and the Company assumes no obligation to publicly update any such statements.
SOURCE Plastipak Packaging, Inc.
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