#United States #Berry Global #Evansville #Merger #Amcor

Amcor and Berry Global Announce Important Milestone Towards Transaction Closing

Amcor plc and Berry Global Group, Inc. are making significant strides towards merging their operations, a move expected to reshape the global packaging landscape. On January 23, 2025, the companies announced the filing of a joint proxy statement with the U.S. Securities and Exchange Commission. This marks an essential milestone in their all-stock transaction plan. The scheduled shareholder meetings for both companies are set for February 25, 2025, further propelling the transaction towards completion.

The proposed merger aims to create a formidable leader in consumer and healthcare packaging solutions, uniting two businesses with highly complementary offerings. This combined entity is poised to drive accelerated growth across various packaging segments, including flexible films, containers, closures, and dispensing solutions. With the merger, shareholders can anticipate significant value creation, projected at around $650 million in identified synergies over the next three years.

One of the key benefits of this merger is the opportunity for the newly formed company to refine its product portfolio, taking advantage of advanced material science and innovation capabilities. This will not only enhance product development but also address evolving customer and consumer needs in terms of sustainability.

Both companies' boards have unanimously endorsed the transaction, indicating strong confidence in its potential benefits. The joint proxy statement details vital information about governance matters, how shareholders can vote, and outlines the overall roadmap for merging.

Key Dates Summary

• - Record Date for Shareholders: January 17, 2025
• - Filing of Joint Proxy Statement: January 23, 2025
• - Amcor Extraordinary General Meeting: February 25, 2025
• - Berry Special Meeting: February 25, 2025
• - Expected Transaction Completion: Mid-2025

The successful merger is expected to enhance each company’s financial profiles significantly. The forecast shows a combination of more than $3 billion in annual cash flow and an increase in adjusted cash earnings per share by over 35%. This results in a projected annual long-term shareholder value growth rate shifting from an estimated range of 10-15% to a robust 13-18%.

Amcor, recognized for its commitment to sustainability, is dedicated to producing responsible packaging solutions across multiple sectors, including food, pharmaceuticals, and personal care products. With around 41,000 employees and $13.6 billion in annual sales, Amcor operates in 212 locations across 40 countries.

Meanwhile, Berry Global is focused on innovative packaging solutions designed to enhance life for individuals and the environment alike. With over 34,000 employees in more than 200 locations, the company prioritizes customer partnerships to innovate sustainable products and contribute positively to the circular economy.

The proposed merger represents a critical move for both Amcor and Berry Global as they seek to leverage their strengths and address market demands more robustly. As they progress towards completing this transaction, both companies are asking their shareholders to remain engaged with the ongoing developments and participate in the impending votes that will shape the merger outcome.

Conclusion

As Amcor and Berry Global move closer to this historical merger, the packaging industry watches with great anticipation. The potential benefits for shareholders and consumers alike highlight the importance of this transaction, situating the combined entity as a pivotal player capable of driving sustainable practices while delivering innovative packaging solutions.