KPS Capital Partners to Acquire EMEA Food and Consumer Packaging Business from Crown Holdings
LEADING EUROPEAN PACKAGING BUSINESS TO BECOME INDEPENDENT COMPANY
CROWN HOLDINGS, INC. TO RETAIN 20% OWNERSHIP INTEREST
NEW COMPANY TO FOCUS ON GROWTH IN FOOD AND CONSUMER PRODUCTS MARKETS
NEW YORK, April 8, 2021 /PRNewswire/ -- KPS Capital Partners, LP ("KPS") today announced that it has signed a definitive agreement to acquire the Europe, Middle East and Africa food, aerosol and promotional packaging business (the "EMEA Food and Consumer Packaging Business" or the "Company") from Crown Holdings, Inc. (NYSE: CCK, "Crown") for €2.25 billion (approximately $2.7 billion). Crown will retain 20% ownership of the Company. The transaction is expected to close in the third quarter of 2021 and is subject to customary closing conditions and approvals.
The EMEA Food and Consumer Packaging Business is the largest manufacturer of steel and aluminum food packaging in Europe and is a leading manufacturer of aerosol and promotional packaging. The Company is critical to the European food supply chain and has hundreds of global and regional food and consumer products customers. The Company's products are highly sustainable and help to prevent food waste and drive higher rates of recycling. The EMEA Food and Consumer Packaging Business has approximately 6,300 employees across 44 manufacturing facilities in Europe, the Middle East and Africa, and generates annual revenue of approximately €2.0 billion.
Michael Psaros, Co-Founder and Co-Managing Partner of KPS, said, "We are excited to acquire one of the largest metal packaging businesses in Europe. The size and scale of the business, the breadth of its products and its critical food safety technology and process disciplines developed over decades, coupled with growing end-markets, are the foundation of a tremendous investment platform. We thank Mr. Donahue and Crown for their confidence in KPS and trust in our stewardship of the extraordinary business they have built. We look forward to working constructively with all of the business's stakeholders to build a vibrant and thriving new company. KPS will leverage its decades of global manufacturing experience to create an entrepreneurial culture centered on innovation and continuous improvement, while providing the financial resources to invest in commercial and operational excellence and industry leading customer service."