Graphic Packaging Holding Company recently announced that it will buy AR Packaging Group AB, Europe’s second largest producer of fiber-based consumer packaging, for approximately $1.45 billion in cash.
Graphic Packaging, a vertically integrated provider of sustainable fiber-based consumer packaging solutions, is based in Atlanta. AR Packaging is registered in Sweden.
The deal enhances Graphic Packaging’s global scale, innovation capabilities, and value proposition for customers throughout Europe and bordering regions, the companies said in a news release.
“AR Packaging is a leader in the attractive and growing market for sustainable packaging in Europe,” said Michael Doss, Graphic Packaging’s president and CEO. “…The large, distributed footprint of AR Packaging’s 25 converting facilities across Eastern and Western Europe provides significant scale and cost efficiency benefits, strengthening our combined presence and ability to service customers throughout Europe and globally.”
The transaction, which has been unanimously approved by the boards of directors of both companies, is expected to close in the fall, subject to regulatory approvals and other customary closing conditions, according to the news release.