Graphic Packaging To Sell Two Coated-Recycled Board Mills
Sun Capital Partners, Inc. (`Sun Capital`), a leading private investment firm specializing in leveraged buyouts and investments in market-leading companies, announced that one of its affiliates has signed an agreement with Graphic Packaging International, Inc., a subsidiary of Graphic Packaging Holding Company (NYSE:GPK), to buy two coated-recycled board (`CRB`) mills as required by the U.S. Department of Justice under the Consent Decree governing the combination of Graphic Packaging International, Inc. and Altivity Packaging, LLC, in March 2008.
The mills being sold are located in Philadelphia, Pennsylvania and in Wabash, Indiana, and produce coated-recycled paperboard used for converting folding cartons marketed in the United States. Terms of the transaction were not disclosed.
Together, the two mills produce approximately 300,000 tons of 100% clay-coated recycled paperboard annually, and will become the largest independent CRB mill group in the U.S. with nearly 11% of the US coated-recycled paperboard market. The newly formed-group, which will be renamed before closing, will be an integral supplier to the folding carton market in the United States. The mills employ approximately 350 salaried and hourly persons. It is the present intention of the purchaser to hire substantially all of these persons.
Mesirow Financial, Inc. served as exclusive financial advisor to Graphic Packaging in connection with this transaction.
About Graphic Packaging International, Inc.
Graphic Packaging International, Inc., a subsidiary of Graphic Packaging Holding Company (NYSE:GPK), headquartered in Marietta, Georgia, is a leading provider of paperboard packaging solutions for a wide variety of products to food, beverage and other consumer products companies. The company is one of the largest producers of folding cartons and holds a leading market position in coated-recycled boxboard and specialty bag packaging. The company's customers include some of the most widely recognized companies in the world.
About Sun Capital Partners, Inc.
Sun Capital Partners, Inc. is a leading private investment firm focused on leveraged buyouts, equity, debt, and other investments in market-leading companies that can benefit from its in-house operating professionals and experience. Sun Capital affiliates have invested in and managed more than 195 companies worldwide with combined sales in excess of $40.0 billion since Sun Capital's inception in 1995. Sun Capital has offices in Boca Raton, Los Angeles, and New York, as well as affiliates with offices in London, Paris, Frankfurt, Tokyo, and Shenzhen.
