Transaction

Amcor and Berry Global announce important milestone towards transaction closing

2025-01-23 1:44 min Management, Facts & Figures

Amcor Zurich, Switzerland

Joint proxy statement filed with U.S. Securities and Exchange Commission
Amcor and Berry Global shareholder meetings to take place on February 25, 2025

PETnology Europe 2025 Pre Programm Registration

Amcor and Berry Global announce that an important milestone towards the completion of their previously announced all-stock transaction has been reached, with filing of the definitive joint proxy statement with the U.S. SEC. The Joint Proxy Statement includes notices of Amcor and Berry shareholder meetings that will both take place on Tuesday 25 February, 2025.

This transaction brings together two highly complementary businesses to create a global leader in consumer and healthcare packaging solutions, uniquely positioned to accelerate growth across a broader and scaled flexible film, containers, closures and dispensing packaging portfolio. The combined company will have significant opportunities to further refine the portfolio and leverage differentiated material science and innovation capabilities to revolutionize product development, and solve customers’ and consumers’ sustainability needs.

In addition, substantial value is expected to be created for both sets of shareholders through the delivery of $650 million in identified cost, growth and financial synergies¹ and a stronger financial profile going forward, underpinned by accelerated volume and revenue growth, combined annual cash flow² of over $3 billion and a commitment to an investment grade balance sheet. The combination is expected to deliver over 35% adjusted cash earnings per share accretion³ and enhance long-term shareholder valuation creation from 10-15% to 13-18% per annum through sustained higher earnings growth and continued annual dividend growth.

The transaction is unanimously recommended by the Boards of Directors of both companies.

The Joint Proxy Statement includes important information relevant to the transaction, including information about the shareholder meetings, how to vote and governance matters related to the combined company following completion of the transaction.

Summarized key dates are provided below:

(Source: Amcor)

_______________

Estimated synergies of approximately $650 million of identified cost, growth and financial synergies by the end of the third year after consummation of the transaction, which includes approximately $530 million of annual run-rate pre-tax cost synergies, approximately $60 million of annual run-rate financial savings and approximately $60 million of annual run-rate pre-tax earnings benefit from growth synergies. Additionally, approximately $280 million of one-time cash benefits from working capital efficiencies are expected to be offset by approximately $280 million of expected pre-tax costs to achieve synergies.
Defined as combined operating cash flow including run-rate synergies, after interest and tax, before capital expenditures.
Inclusive of run-rate impact of synergies by the end of the third year after consummation of the transaction and is relative to Amcor’s LTM 30 September, 2024 standalone EPS.
Dates remain subject to change and reasonable notice of any such variation will be provided. No assurance can be given that completion will occur within this timeframe or at all.

_______________

www.amcor.com

PETnology's Resource Guide

comPETence center

The comPETence center provides your organisation with a dynamic, cost effective way to promote your products and services.

Find out more

Amcor and Berry Global announce important milestone towards transaction closing

Newsletter Sign up