Greif Acquires ipackchem Group – Adds 1,400 Employees

By Tamara Parker • Wednesday, March 27 15:15 • Permanent Link

Greif, Inc. (NYSE: GEF, GEF.B) has successfully completed its acquisition of ipackchem group sas, adding approximately 1,400 colleagues to its team. The acquisition was funded with a transaction value of $538 million, plus an additional $38 million for a ticking fee, debt/cash adjustments, and FX impact, and was financed through the company's existing credit facility.

The integration of ipackchem into the Greif portfolio is expected to unlock new capabilities and market opportunities, driving incremental benefits and supporting future growth. The acquisition is also anticipated to result in targeted synergies of $7 million.

As a result of the acquisition, ipackchem's financial results will be reported within Greif's global industrial packaging segment. Furthermore, the acquisition is expected to be immediately accretive to EBITDA margins.

Greif's president and CEO, Ole Rosgaard, expressed his gratitude to both Greif and ipackchem teams for their dedication and collaboration in planning the post-acquisition integration.

This acquisition aligns with Greif's vision to be the best performing customer service company in the world and strengthens its position as a global leader in industrial packaging products and services. With operations in over 35 countries, Greif produces a wide range of packaging products, including steel, plastic, and fiber drums, intermediate bulk containers, jerrycans, containerboard, and more.

Ipackchem, with 35 years of experience, is an international leader in designing and manufacturing innovative, high-performance rigid plastic barrier packaging products. The company's commitment to sustainability is reflected in its production of 100% recyclable barrier packaging, utilizing up to 50% post-consumer recycled polymer. Ipackchem's technology and manufacturing plants across five continents support its role as a responsible solution for the transportation of dangerous goods in various industries, including crop protection chemicals, pharmaceuticals, animal health, and flavor & fragrances.

Following these announcements, the company's shares moved 1.5%, and are now trading at a price of $67.9. For more information, read the company's full 8-K submission here.

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