Firms: Baker McKenzie (Pact Group Holdings Ltd); Herbert Smith Freehills (Reynolds Packaging); Gilbert + Tobin (Credit Suisse)
Deal: Pact Group entered an agreement to acquire the Asian packaging operations (excluding Japan) of Closure Systems International and Graham Packaging from Reynolds Packaging.
Value: $142 million
Key players: The Baker McKenzie team advising Pact Group on the transaction was led by partner Simon De Young (pictured). Partner Rick Troiano led the team working on the associated capital raising.
Deal significance: ASX-listed packaging company Pact Group has entered agreements to acquire the Asian packaging operations (excluding Japan) of Closure Systems International and Graham Packaging from Reynolds Packaging for an enterprise value of $142 million.
Pact Group launched a fully underwritten accelerated non-renounceable entitlement offer to raise $176 million to fund the acquisition. Credit Suisse was the underwriter and manager for the offer.
Baker McKenzie said in a statement that the acquisition would position Pact Group as a regional leader in supplying plastic closures and plastic bottles, primarily to blue-chip customers in the CSD, FMCG and health supplements/nutrition industries in Asia.
“We were delighted to assist our client, Pact Group Holdings Ltd, on both the acquisition and the associated capital raising, including the provision of international and US securities advice,” said lead partner Simon De Young.
“The business to be acquired by Pact has a diverse geographical footprint, encompassing seven manufacturing sites located in the PRC, the Philippines, South Korea, India and Nepal.
“Baker McKenzie was able to deploy a seamless team solution to the assessment and management of the complex legal issues arising from the implementation of a multijurisdictional carve out transaction of this nature.”
Pictured: Baker McKenzie partner Simon De Young