KPS Capital Partners to acquire aerosol, food packaging business from Crown
KPS Capital Partners has agreed to acquire Crown Holdings’ Europe, Middle East, and Africa aerosol and food promotional packaging business (the EMEA Food and Consumer Packaging Business).
Under the €2.25 billion deal, Crown will retain 20% ownership of the company. The transaction is expected to close in the third quarter of this year and is subject to customary closing conditions and approvals.
The EMEA Food and Consumer Packaging Business is the largest manufacturer of steel and aluminium food packaging in Europe and is a leading manufacturer of aerosol and promotional packaging. The company has around 6,300 employees across 44 manufacturing facilities in Europe, the Middle East, and Africa, and generates annual revenue of approximately €2 billion.
“We are excited to acquire one of the largest metal packaging businesses in Europe,” said Michael Psaros, co-founder and co-managing partner of KPS.
“The size and scale of the business, the breadth of its products and its critical food safety technology and process disciplines developed over decades, coupled with growing end-markets, are the foundation of a tremendous investment platform.
“We thank Mr Donahue [Timothy Donahue, CEO] and Crown for their confidence in KPS and trust in our stewardship of the extraordinary business they have built. We look forward to working constructively with all of the business’s stakeholders to build a vibrant and thriving new company.
“KPS will leverage its decades of global manufacturing experience to create an entrepreneurial culture centred on innovation and continuous improvement while providing the financial resources to invest in commercial and operational excellence and industry-leading customer service.”
Timothy Donahue, CEO of Crown, commented: “We are very pleased that the European Tinplate business will have a strong owner in KPS Capital Partners to support future profitable growth and innovation initiatives.
“European customers and consumers alike have long embraced metal packaging, valuing the premium product protection and flavour preservation that it offers. We are excited to retain a minority stake in the business alongside KPS as Crown shareholders will benefit from the KPS team and its track record of owning manufacturing companies and creating tremendous value.”
Under the €2.25 billion deal, Crown will retain 20% ownership of the company. The transaction is expected to close in the third quarter of this year and is subject to customary closing conditions and approvals.
The EMEA Food and Consumer Packaging Business is the largest manufacturer of steel and aluminium food packaging in Europe and is a leading manufacturer of aerosol and promotional packaging. The company has around 6,300 employees across 44 manufacturing facilities in Europe, the Middle East, and Africa, and generates annual revenue of approximately €2 billion.
“We are excited to acquire one of the largest metal packaging businesses in Europe,” said Michael Psaros, co-founder and co-managing partner of KPS.
“The size and scale of the business, the breadth of its products and its critical food safety technology and process disciplines developed over decades, coupled with growing end-markets, are the foundation of a tremendous investment platform.
“We thank Mr Donahue [Timothy Donahue, CEO] and Crown for their confidence in KPS and trust in our stewardship of the extraordinary business they have built. We look forward to working constructively with all of the business’s stakeholders to build a vibrant and thriving new company.
“KPS will leverage its decades of global manufacturing experience to create an entrepreneurial culture centred on innovation and continuous improvement while providing the financial resources to invest in commercial and operational excellence and industry-leading customer service.”
Timothy Donahue, CEO of Crown, commented: “We are very pleased that the European Tinplate business will have a strong owner in KPS Capital Partners to support future profitable growth and innovation initiatives.
“European customers and consumers alike have long embraced metal packaging, valuing the premium product protection and flavour preservation that it offers. We are excited to retain a minority stake in the business alongside KPS as Crown shareholders will benefit from the KPS team and its track record of owning manufacturing companies and creating tremendous value.”
