Pact Group acquires Asian packaging operations of Closure Systems International and Graham Packaging
Baker McKenzie acts for ASX listed Pact Group Holdings Ltd in connection with its entry into agreements to acquire the Asian packaging operations (ex Japan) of Closure Systems International and Graham Packaging from Reynolds Packaging for an enterprise value of A$142m. To fund the acquisition, Pact launched a fully-underwritten accelerated non-renounceable entitlement offer to raise A$176m.
Baker McKenzie lead partner on the transaction, Simon De Young stated: "We were delighted to assist our client, Pact Group Holdings Ltd, on both the acquisition and the associated capital raising, including the provision of international and US securities advice."
The Asian businesses to be acquired by Pact provide a platform that is a regional leader in supplying plastic closures and plastic bottles primarily to blue chip customers in the CSD, FMCG and health supplements/nutrition industries in Asia.
Simon further commented: "The business to be acquired by Pact has a diverse geographical footprint, encompassing seven manufacturing sites located in the PRC, the Philippines, South Korea, India and Nepal. Baker McKenzie was able to deploy a seamless team solution to the assessment and management of the complex legal issues arising from the implementation of a multi-jurisdictional carve out transaction of this nature."
Baker McKenzie partner acting on the capital raising, Rick Troiano stated: "We were equally delighted to have assisted Pact in securing the equity funding for the acquisition. With the support of our Sydney-based US securities law team led by partner Andrew Reilly, Baker McKenzie was able to provide seamless Australian, international and US securities legal advice on the capital raising."
Simon and Rick were assisted by a team of Australian Baker McKenzie lawyers including Adrian Lawrence, Tyson May, Paul Anderson, Ju Young Lee, Julie Cox, Tim Pirera, Emanuel Carbone and Jake Spain. Baker McKenzie's team in the PRC was led by Tracy Wut.