Graphic Packaging To Buy Benson Group In $165 Mln Deal - Quick Facts

(RTTNews) - Graphic Packaging Holding Co.(GPK), a provider of packaging solutions to food, beverage and other consumer products companies, announced Wednesday that a European subsidiary has agreed to acquire Benson Group, food and healthcare packaging company based in the U.K, for the purchase price of about $165 million.

The company said it will fund the transaction with existing cash and borrowings from the its current revolving line of credit.

The Benson Group operates four folding carton facilities in the U.K. that convert approximately 80,000 tons of paperboard annually. The acquisition is subject to standard closing requirements and is expected to close in the second quarter.

".... The acquisition broadens our Food and Consumer Products offerings and extends our reach into the Store Brand segment. The combination of Benson Group and our existing European businesses is expected to greatly enhance our folding carton business in Europe, with sales in excess of $700 million," said David Scheible, Graphic Packaging's Chairman, President and Chief Executive Officer.