Westrock's acquisition of the Multi Packaging Solutions business marked a significant milestone in the company's history. This strategic move was announced in 2016.
The acquisition brought a new dimension to Westrock's capabilities, expanding its presence in the global packaging market. Westrock's customer base and product offerings were enhanced by the addition of Multi Packaging Solutions' expertise.
With this acquisition, Westrock increased its global presence, adding manufacturing facilities and distribution networks in key markets. This expansion enabled Westrock to better serve its customers worldwide.
Westrock to Acquire Multi Packaging Solutions
WestRock is acquiring Multi Packaging Solutions (MPS) in a $2.28 billion deal.
The acquisition will add MPS's premium folding cartons, inserts, labels, and rigid packaging to WestRock's product offerings.
MPS was founded in 2005 and serves a diverse customer base in the consumer and healthcare sectors.
The company has 59 locations across North America, Europe, and Asia.
WestRock's CEO, Steve Voorhees, sees the acquisition as an important step forward that advances their strategy.
Voorhees believes the combination of WestRock and MPS will create opportunities for margin expansion and enhanced financial returns.
MPS's founder, Marc Shore, and president, Dennis Kaltman, will join WestRock as part of the transaction.
The acquisition is subject to approval by MPS shareholders, but two largest shareholders representing 57% have pledged their support.
WestRock is paying $18 a share for MPS and will assume $837 million of accumulated debt.
MPS generated sales of $1.6 billion with $237 million EBITDA in the year to September 2016.
The acquisition will broaden WestRock's presence in targeted end markets and enhance its product capabilities.
WestRock will gain strong complementary print, graphics, and design capabilities from MPS.
This will allow WestRock to differentiate itself with new applications and technologies in the growing healthcare and consumer markets.
Frequently Asked Questions
What does the company WestRock do?
WestRock is a leading provider of paper and packaging solutions, offering a wide range of products including containerboard, paperboard, and pulp products. From folding cartons to retail displays, the company helps businesses package and present their products effectively.
Sources
- http://www.labelsandlabeling.com/news/westrock-acquire-multi-packaging-solutions
- https://www.packaging-gateway.com/news/newswestrock-acquires-multi-packaging-solutions-for-228bn-5837097/
- https://printbusiness.co.uk/board-company-buys-multi-packaging-solutions-in-2-billion-deal/
- https://www.euwid-paper.com/news/markets/westrock-completes-mps-takeover/
- https://rocketreach.co/multi-packaging-solutions-mps-profile_b5c16bb3f42e08f2
Featured Images: pexels.com
