KPS Capital Partners, LP completed the acquisition of EMEA Food and Consumer Packaging Business of Crown Holdings, Inc..
August 30, 2021
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KPS Capital Partners, LP signed a definitive agreement to acquire EMEA Food and Consumer Packaging Business of Crown Holdings, Inc. (NYSE:CCK) for 2.3 billion on April 8, 2021. Upon completion, Crown Holdings will retain a 20% ownership stake in the business. KPS Capital Partners will fund the transaction from debt financing. In 2020, the business generated 1.9 billion in revenue. The transaction is subject to certain regulatory approvals, antitrust and customary closing conditions. As of August 12, 2021, EU commission approved the deal. The transaction is expected to close in the third quarter of 2021. Crown Holdings expects to use the net proceeds, after closing working capital adjustments, taxes and other transaction related costs, to further reduce debt, fund capital projects and repurchase shares over time under its recent $1.5 billion authorization dated February 25, 2021.
Evercore acted as exclusive financial advisor to Crown Holdings. Rothschild & Co is acting as lead financial advisor and Angelo Bonvino, David Carmona and Alvaro Membrillera of Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal counsel to KPS Capital Partners. Barclays and UBS are also acting as financial advisors to KPS Capital Partners. Debt financing to support the transaction is being led by Barclays and Deutsche Bank along with BNP Paribas, Credit Agricole, MUFG, Rabobank, Unicredit, Credit Suisse and UBS Investment Bank. Ian Hartman, Michael Darby, Christopher Field, Douglas Getter, Ermine Bolot-Massé, John Markland, James Stonehill, John Ix, Clemens York, Michael Cowie, Michael Okkonen, Jill Ross, Philippe Thomas, Edward Lemanowicz, Abbi Cohen, Joshua Rawson, Francois Quintard-Morenas of Dechert LLP, Bennani & Associés LLP, ENSafrica | Ghana, De Brauw Blackstone Westbroek N.V., So'tysi'ski Kawecki & Szl'zak, Herguner Bilgen & Ozeke, M. & P. Bernitsas Law Offices, Garrigues Portugal, S.L.P. - Sucursal, Kinstellar Budapest and Bruno Gangemi, Elisa Noto and Ernesto Pucci of Macchi di Cellere Gangemi acted as legal advisors to Crown Holdings. Jan Balssen, Olaf Hohlefelder, Andrej Popp, Daniela Mayr, Ocka Stumm, Svenja Heck, Iris Benedikt-Buckenleib, Matthias Werner, Theresa Uhlenhut, Sebastian Girschick, Simon Wegmann, Patrick Reuter, Jana Pinto Escaleira, Felix Wrocklage, Christian Cascante, Maria Schuster, Stefan Mayer, Tim Weber, Ingo Brinker, Jacob von Andreae, Christian Hamann, Alexander Molle, Helge Kortz and Eike Bicker of Gleiss Lutz and Javier Villasante and Sora Park of Cuatrecasas, Gonçalves Pereira, S.L.P. and Benedetto La Russa and Raul-Angelo Papotti of Chiomenti Studio Legale acted as legal advisor to KPS Capital Partners. Daniel Hasler and Reto Heuberger of Homburger acted as legal advisor to Crown Holdings, Inc. Credit Suisse Securities (USA) LLC acted as financial advisor to KPS Capital Partners, LP.
KPS Capital Partners, LP completed the acquisition of EMEA Food and Consumer Packaging Business of Crown Holdings, Inc. (NYSE:CCK) on August 31, 2021.
Crown Holdings, Inc. designs, manufactures and sells packaging products for consumer goods and industrial products. The Company's segments include Americas Beverage, European Beverage, Asia Pacific, Transit Packaging and Other. The Americas Beverage segment manufactures infinitely recyclable aluminum beverage cans and ends, glass bottles, steel crowns and aluminum caps. The European Beverage segment manufactures infinitely recyclable aluminum beverage cans and ends in Europe, the Middle East and North Africa. The Asia Pacific segment consists of beverage can and non-beverage can operations, primarily food cans and specialty packaging. The Transit Packaging segment includes its worldwide automation and equipment technologies, protective packaging solutions and steel and plastic consumables. The Company's Other segments include its food can, aerosol can and closures businesses in North America, and beverage tooling and equipment operations in the United States and the United Kingdom.