Sonoco completes Ball Metalpack acquisition
Global packaging company, Sonoco, has announced it has completed the acquisition of Ball Metalpack.
Howard Coker, president and CEO of Sonoco, said: “Sonoco and Ball Metalpack are a clear strategic fit. The metal packaging business complements Sonoco’s largest consumer packaging franchise – our iconic global paper cans and closures business. In addition, this combination expands Sonoco’s already established sustainable packaging portfolio to include metal packaging, which is one of the world’s top circular economy adapted products.
“We are extremely excited to welcome 1,300 experienced metal packaging associates into the Sonoco family. With a comprehensive and innovative product portfolio and facilities enhanced by significant recent investments in new technology and capacity, we believe the addition of this metal packaging business will further strengthen our stable cash flow generation and provide immediate earnings accretion.”
Previously part of Ball Corporation, the Ball Metalpack joint venture, headquartered in Broomfield, Colorado, formed in 2018, also has operations in Canton and Columbus, Ohio; Milwaukee and Deforest, Wisconsin; Chestnut Hill, Tennessee; Horsham, Pennsylvania; and Oakdale, California. Ball Metalpack generated approximately US$850 million in revenue and US$114 million of adjusted EBITDA in 2021.
The Ball Metalpack name is being changed to Sonoco and its financial results are expected to be reported in Sonoco’s consumer packaging segment.
Jim Peterson will remain president of Sonoco Metal Packaging, reporting to Rodger Fuller, executive vice president. The business’ tenured management team will remain with the business and there are no expected changes in operations or customer relationships as a result of the acquisition.
Sonoco acquired Ball Metalpack for US$1.35 billion in cash subject to customary adjustments, including for working capital, cash and indebtedness.
