WENDEL

Wendel signs an agreement for the sale of Constantia Flexibles to One Rock Capital Partners

PRESS RELEASE — JULY 31, 2023

Wendel signs an agreement for the sale
of Constantia Flexibles to One Rock Capital Partners

Wendel signed an agreement to sell Constantia Flexibles (“The Company”), a global leader in the flexible packaging market, to an affiliate of One Rock Capital Partners, LLC (“One Rock”). The Group produces flexible packaging solutions for a diversified portfolio of blue-chip customers and local champions in the consumer and pharmaceutical industries.

The Company would be sold for a price that yields net proceeds¹ for Wendel of c.€1,097M, reflecting a multiple of 1.94 times Wendel’s total investment in Constantia Flexibles since 2015.
The transaction net proceeds are €84 million above Constantia Flexibles’ valuation in Wendel’s net asset value (“NAV”) published before the transaction announcement, i.e. as of March 31, 2023. Furthermore, additional proceeds generated by the Company’s ongoing assets disposals, could bring the proceeds up to €1,124 million, i.e. a valuation 11.0% higher than the NAV at March 31, 2023, and 6.8% higher than the NAV at June 30, 2023.

The closing of the transaction should take place during the second half of 2023, subject to the satisfaction of the contractual conditions precedents, including the clearance by regulatory authorities.

David Darmon, Wendel Group’s Deputy CEO, said: “The history of Constantia Flexibles within Wendel's portfolio highlights the validity of our long-term investor model, which has enabled us to support the Company in its development. Constantia Flexibles has thus placed innovation at the heart of its growth model, enabling it to rise to the challenge of the circular economy without compromising on the functional requirements of its products. Under Pim Vervaat’s leadership, all Constantia Flexibles teams demonstrated their commitment and resilience during the Covid-19 crisis, and coped brilliantly with the recent disruptions in the energy and commodities markets. They enabled the Company to deliver outstanding operational, financial and extra-financial performance.”

Pim Vervaat, CEO of Constantia Flexibles, affirms: "Our current position and success would not have been possible without Wendel's dedication and commitment. We are grateful for their supportive partnership over the years, which has enabled our growth and investments in our workforce, innovations, and sustainable offerings for the Consumer and Pharma markets. Working alongside Wendel has been a pleasure."