BWAY Holding Company, a major North American supplier of general-line rigid containers including containers for paints and coatings, announced an agreement to be acquired by a company organized by the private-equity firm Madison Dearborn Partners LLC.
The transaction is valued at approximately $915 million, including the assumption of debt, BWAY said. The acquisition also is subject to regulatory approvals, with completion of the transaction anticipated in the second or third quarter of this year.
The agreement was unanimously approved by BWAY's board of directors, and is subject to approval of the company’s shareholders. Bank of America Merrill Lynch and affiliates of Deutsche Bank Securities Inc. have committed financing for the transaction, according to the announcement by BWAY.
Kenneth Roessler, BWAY president and CEO, said Madison Dearborn Partners “has a solid reputation for working with their portfolio companies, and I believe that they will be instrumental in helping BWAY meet our growth objectives.”
Thomas S. Souleles, Madison Dearborn Partners managing director, described BWAY as a “world-class packaging business with leading market positions, outstanding customer relationships, and an exceptional management team.”
BWAY Holding Company, based in Atlanta, operates 20 plants, excluding announced plant closures, in the U.S. and Canada. The company’s product lines include metal cans and steel and plastic pails for paints, coatings, adhesives, and mastics. The company’s businesses include BWAY Packaging, NAMPAC, and ICL Industrial Containers.
Madison Dearborn Partners LLC is a private-equity investment firm that has invested in more than 100 companies. The firm says it invests in businesses across a broad spectrum of industries, including basic industries, communications, consumer, energy and power, financial services, and health care.