Amcor to acquire Berry Global in landmark US$8.4B all-stock deal 

USA – Packaging powerhouse Amcor has announced its acquisition of Berry Global Group in an US$8.4 billion all-stock transaction, marking a major consolidation in the packaging industry. 

Under the agreement, Berry’s common stock is valued at US$73.59 per share. Shareholders of Berry will receive a fixed exchange of 7.25 Amcor shares for each Berry share, resulting in a shareholder split of approximately 63% ownership for Amcor and 37% for Berry in the combined entity. 

The boards of both companies have unanimously approved the deal, with completion expected by mid-2025, pending shareholder and regulatory approvals. 

The merged company will operate as Amcor plc, with Peter Konieczny as CEO and Graeme Liebelt as chairman.

While Amcor’s global headquarters will remain in Zurich, Switzerland, the combined company plans to retain a strong presence in Evansville, Indiana. 

Amcor anticipates achieving US$650 million in cost savings, growth synergies, and financial benefits within three years of closing.

The merger aims to reorient the portfolio toward higher-margin sectors, including healthcare, protein, pet food, and beauty. 

Amcor CEO Peter Konieczny stated, “This combination marks a transformative step forward, driving significant improvements in free cash flow, earnings growth, and shareholder value creation.”

Berry Global reports resilient Q4 results amid acquisition announcement

Amid the acquisition news, Berry Global reported robust fourth-quarter results, showcasing its operational strength despite market challenges. 

The company reported net sales of US$3.2 billion, up 3% from last year, driven by higher pricing and 1% organic volume growth. 

Adjusted earnings per share (EPS) reached US$2.27, exceeding analyst expectations of US$2.25, though GAAP EPS fell to US$1.26. 

Fiscal 2024 highlights 

Berry reported fiscal year 2024 net sales of US$12.3 billion and an operating income of US$937 million.

Adjusted EPS grew for the 12th consecutive year, reaching US$7.62, reflecting the company’s consistent performance in a competitive market. 

Berry generated US$854 million in free cash flow for fiscal 2024, returning US$260 million to shareholders via dividends and share repurchases. The company increased its quarterly dividend by nearly 13%, reflecting its commitment to shareholder value.

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