DELAWARE, Ohio, April 1,
2020 /PRNewswire/ -- Greif, Inc. (NYSE: GEF, GEF.B), a
global leader and industrial packaging solutions provider,
announced today that it has completed its previously announced
divestiture of the Consumer Packaging Group ("CPG") business for
$85 million in cash to Graphic
Packaging Holding Company (NYSE: GPK).
"Given our industrial focus, we were not the rightful owner of
the CPG business. The sale helps us de-lever our balance sheet,
optimize our capital allocation plans and refocuses our business on
our core industrial franchise and strategic growth priorities in
Intermediate Bulk Container production and reconditioning and
containerboard integration," said Pete
Watson, Greif's President and Chief Executive Officer. "I
would like to thank our colleagues at CPG for their contributions
to Greif during the past year and wish them the very best in the
future."
Proceeds from the sale of CPG will be used toward debt
repayment. Greif expects no material impact to its Fiscal 2020
outlook or Fiscal 2022 financial commitments from this sale and
reaffirms its expectation of at least $70
million synergies over 36 months from the closing of the
Caraustar acquisition.
About Greif, Inc.
Greif is a global leader in industrial packaging products and
services and is pursuing its vision: In industrial packaging, be
the best performing customer service company in the world. The
Company produces steel, plastic and fibre drums, intermediate bulk
containers, reconditioned containers, flexible products,
containerboard, uncoated recycled paperboard, coated recycled
paperboard, tubes and cores and a diverse mix of specialty
products. The Company also manufactures packaging accessories and
provides filling, packaging and other services for a wide range of
industries. In addition, Greif manages timber properties in the
southeastern United States. The
Company is strategically positioned in over 40 countries to serve
global as well as regional customers. Additional information is on
the Company's website at www.greif.com.
Forward-Looking Statements
Except for historical information, all other information in this
news release consists of forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
All forward-looking statements are based on assumptions,
expectations and other information currently available to
management. Such forward-looking statements are subject to
certain risks and uncertainties that could cause the Company's
actual results to differ materially from those forecasted,
projected or anticipated, whether expressed or implied. The
most significant of these risks and uncertainties are described in
Part I, Item 1A under "Risk Factors" of the Company's most recently
filed Form 10-K, as amended by the Company's subsequent filings
with the Securities and Exchange Commission. All forward-looking
statements made in this news release are expressly qualified in
their entirety by reference to such risk factors. Except to the
limited extent required by applicable law, we undertake no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise.
Contact:
Matt Eichmann
740-549-6067
matt.eichmann@greif.com
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SOURCE Greif, Inc.