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Bemis Company Acquires South American Rigid Packaging Operations From Huhtamaki

Published on 2009-06-09. Author : SpecialChem

NEENAH, Wis. -- Bemis Company, Inc. announced that it has acquired the South American rigid packaging operations of Huhtamaki Oyj, a global manufacturer of consumer and specialty packaging. This rigid packaging business, which includes three facilities in Brazil and one facility in Argentina, recorded annual net sales of approximately US$85.8 million in 2008, primarily to dairy and food service markets.

In this transaction, Bemis acquired the common stock of Huhtamaki Plàsticos Rìgidos Brasil Ltda and Huhtamaki Argentina S.A. for a total purchase price of approximately US$43 million. The purchase price was paid with a combination of the equivalent of US$32.3 million cash on hand, US$1.9 million of debt assumed, and a US$8.8 million note payable to the seller due May 31, 2010.

"This acquisition supports Bemis' growth strategy to expand in South American markets that fit our strengths and capabilities," said Henry Theisen, President and Chief Executive Officer of Bemis Company, Inc. "Huhtamaki's rigid packaging operations are well-managed, state-of-the art facilities. This business will complement our existing South American operations. We expect this acquisition to be modestly accretive to earnings per share in 2009."

Statements in this release that are not historical are considered "forward-looking" and are subject to certain risks and uncertainties. Actual future results and trends may differ materially from historical results or those projected in any such forward-looking statements depending on a variety of factors, including the impact of currency, changes in cost or availability of raw materials, and consumer buying patterns under certain economic conditions. Additional factors are detailed in the Company's regular SEC filings including the most recently filed Form 10-K for the year ended December 31, 2008.

About Bemis Company, Inc.

Bemis Company is a major supplier of flexible packaging and pressure sensitive materials used by leading food, consumer products, manufacturing, and other companies worldwide. Founded in 1858, the Company reported 2008 net sales of $3.8 billion. The Company's flexible packaging business has a strong technical base in polymer chemistry, film extrusion, coating and laminating, printing, and converting. The Company's pressure sensitive materials business specializes in adhesive technologies. Headquartered in Neenah, Wisconsin, Bemis employs about 15,200 individuals in 57 manufacturing facilities in 11 countries around the world.

Source: Bemis


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