Bemis Agrees to Sell Its Pressure Sensitive Materials Business to Platinum Equity
September 08 2014 - 9:00AM
Business Wire
Bemis Company, Inc. (NYSE:BMS) announced today that it has
reached an agreement to sell its global Pressure Sensitive
Materials business (known as “MACtac”) to Platinum Equity, a
California-based private equity firm, for a purchase price of $170
million. This transaction, which is subject to customary closing
conditions and regulatory approval, is expected to close during the
fourth quarter of 2014. The Company plans to use the proceeds of
the sale to fund the growth of its flexible packaging business.
Commenting on the pending transaction, William Austen, Bemis
Company’s President and Chief Executive Officer, said, "Bemis is
now positioned to dedicate all of our resources to accelerating
strategic growth in our core flexible packaging business. Our focus
on increasing sales of value-added products for high barrier,
medical, and pharmaceutical applications around the world will
support our improving performance metrics as well as our organic
and inorganic growth objectives.” Further, Austen commented, “This
transaction will provide an opportunity for the Pressure Sensitive
Materials management team to execute its growth strategy as part of
the Platinum Equity portfolio.”
The Pressure Sensitive Materials business segment includes
manufacturing facilities located in Scranton, Pennsylvania;
Columbus, Indiana; San Luis Potosi, Mexico; Soignies, Belgium; and
Genk, Belgium, along with offices located in Stow, Ohio, and a
worldwide sales and distribution network.
“We have developed a great relationship with Bemis and are
pleased to have crafted a divestiture solution that meets their
needs, while setting MACtac up for long-term success,” said
Platinum Equity Partner Louis Samson, who leads the Platinum Equity
team pursuing the acquisition. “We believe the company is well
positioned for growth, both organically and through prospective
add-on investments. We will provide MACtac the resources, support,
and focus it needs to thrive as a standalone company.”
Platinum Equity has a highly specialized focus on business
operations and 19 years of experience owning and operating
businesses that have been acquired from large corporate parent
companies. Transactions Platinum Equity has completed over the last
two years include carve outs from AP Moeller Maersk, CBS, Emerson,
and Volvo.
Goldman, Sachs & Co. is acting as financial advisor and
Baker & McKenzie LLP is acting as legal counsel to Bemis
Company.
Forward-Looking Statements
Statements in this release that are not historical, including
statements relating to the expected future performance of the
Company, are considered “forward-looking” and are presented
pursuant to the safe harbor provisions of the Securities Litigation
Reform Act of 1995. Such content is subject to certain risks and
uncertainties, including but not limited to the timing of
government regulatory approval. Actual future results and trends
may differ materially from historical results or those projected in
any such forward-looking statements depending on a variety of
factors, which are detailed in the Company's regular SEC filings,
including the most recently-filed Form 10-K for the year ended
December 31, 2013.
About Bemis Company, Inc.
Bemis Company, Inc. (“Bemis” or the “Company”) is a major
supplier of packaging and pressure sensitive materials used by
leading food, consumer products, healthcare, and other companies
worldwide. Founded in 1858, Bemis is included in the S&P 500
index of stocks and reported 2013 net sales of $5.0 billion. Bemis
has a strong technical base in polymer chemistry, film extrusion,
coating and laminating, printing, and converting. Headquartered in
Neenah, Wisconsin, Bemis employs approximately 19,000 individuals
worldwide. More information about Bemis is available at our
website, www.bemis.com.
About Platinum Equity
Founded by Tom Gores in 1995, Platinum Equity is a global
investment firm with more than $7 billion in assets under
management and a portfolio of operating companies that generated
approximately $15 billion in revenue in 2013. Platinum Equity
specializes in mergers, acquisitions and operations – a trademarked
strategy the firm calls M&A&O® – acquiring and operating
companies in a broad range of business markets, including
manufacturing, information technology, telecommunications,
transportation and logistics, media, equipment rental, metals, and
other industries. Over the past 19 years, Platinum Equity has
completed more than 150 acquisitions. For more information,
visit Platinum Equity’s website: www.platinumequity.com.
Bemis Company, Inc.Erin M. Winters, 920-527-5288Director of
Investor RelationsorPlatinum EquityDan Whelan, 310-282-9202
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