Sonoco acquires Weidenhammer Packaging Group for €286 million

Packaging company Sonoco announced that it has signed a definitive agreement to acquire Weidenhammer Packaging Group, a Germany-based provider of composite cans along with composite drums and rigid plastic containers, for €286 million.

According to M. Jack Sanders, Sonoco president and chief executive officer, the acquisition will increase Sonoco's global consumer-related packaging and services business to approximately US$2.8 billion in annual sales or approximately 53% of the Company's combined revenue of approximately US$5.3 billion.

In addition, the combination is expected to increase Sonoco's net sales in Europe to approximately 21% of total sales.

Commenting on the acquisition, Mr Sanders said, "Combining Weidenhammer's state-of-the-art production and technological capability places Sonoco in a leading position to provide its global consumer product customers with unparalleled packaging expertise throughout North America and Europe, and creates a strong presence in the emerging markets of Southeast Asia, China, Eastern Europe and South America."

Weidenhammer Packaging's projected 2014 sales are expected to be approximately €244 million.

The acquisition is subject to governmental regulatory review and is expected to close in the fourth quarter of 2014.