RPC accepts multi-billion deal to be acquired by US rival Berry

RPC accepts multi-billion deal to be acquired by US rival Berry

March 11, 2019
Press Release: Berry Global

Berry buying RPC Group for US$4.4 billion to create ‘global’ platform for plastics manufacture

Indiana, USA-based Berry Global Group is to acquire the UK plastic packaging and non-packaging specialist RPC Group Plc in a deal worth a reported all-cash US$4.4 billion that trumps an earlier purchase attempt by a private equity firm, in doing so creating one of the world’s largest plastic-packaging companies.

Having already made a string of acquisitions recently, Berry CEO Tom Salmon is making the company’s biggest purchase amid a rapidly consolidating market for plastic packaging. Berry, which supplies packaging to brands including Procter & Gamble, Coca-Cola, and Starbucks, would gain European customers such as L’Oreal and Henkel.

Berry generates 82% of revenue from North America and is now set to grow in Europe as regulators there move to ban throwaway plastics such as straws and stirrers by 2021. Although RPC doesn’t manufacture those products, the clampdown is spreading to other plastic packaging and consumer goods as companies are being urged to use alternative materials.

Additionally, there is also the ongoing consumer backlash that’s moved companies such as Nivea to move to almost 100% recycled materials. RPC’s expertise in producing packaging from recycled resins in Europe is, according to reports, one of the drivers of the acquisition.

Berry and RPC are two companies with complementary plastic packaging product offerings and strong cultural compatibility. The combined company will have combined revenue of approximately US$13 billion and approximately 48,000 employees across six continents.

Plastic Free World Conference & Expo 2019 will take place from Thursday 27 June to Friday 28 June, at the Kap Europa, Frankfurt Messe, Frankfurt, Germany. To register for this highly focused and solutions-driven event, please click here. For sponsorship and exhibition opportunities, please email peter@trans-globalevents.com

Pin It on Pinterest

Share This