{"id":5928,"date":"2025-03-17T04:50:26","date_gmt":"2025-03-17T08:50:26","guid":{"rendered":"https:\/\/www.packagingindustrynews.com\/?p=5928"},"modified":"2025-03-17T04:50:26","modified_gmt":"2025-03-17T08:50:26","slug":"amcor-prices-2-2bn-senior-notes-offering-to-fund-berry-merger","status":"publish","type":"post","link":"https:\/\/www.packagingindustrynews.com\/?p=5928","title":{"rendered":"Amcor prices $2.2bn senior notes offering to fund Berry merger"},"content":{"rendered":"


\n<\/p>\n

\n
\n
\n \n <\/picture>
The offering includes three tranches with varying interest rates and maturities. Credit: Amcor.<\/figcaption><\/figure>\n<\/p><\/div>\n

Amcor Flexibles North America, a subsidiary of packaging company Amcor, has priced a private offering of guaranteed senior notes totalling $2.2bn.<\/p>\n

The offering includes three tranches, encompassing $725m of 4.800% notes due 2028, $725m of 5.100% notes due 2030, and $750m of 5.500% notes due 2035.<\/p>\n

The notes will serve as senior unsecured obligations of Amcor Flexibles North America and come with an unconditional guarantee from Amcor and certain subsidiaries.<\/p>\n

The proceeds are earmarked to repay debt associated with Amcor\u2019s merger with Berry Global Group, with a special redemption clause if the merger does not conclude by a specified date.<\/p>\n

Earlier this month, Amcor and Berry secured US antitrust clearance for their proposed $8.4bn merger<\/a>, concluding the Hart-Scott-Rodino Act waiting period. They also obtained antitrust approvals in China and Brazil.<\/p>\n

The companies have reported significant progress on securing the remaining approvals and meeting closing conditions, with the deal expected to close by mid-2025.<\/p>\n

The notes, which have not been registered under the Securities Act of 1933 or any state securities laws, are being offered to qualified institutional buyers and certain non-US buyers under specific exemptions.<\/p>\n

A confidential offering memorandum details the terms for eligible participants, adhering to the conditions outlined therein.<\/p>\n

In November 2024, the companies signed a definitive merger agreement for an all-stock deal<\/a> to form a consumer packaging solutions company. The new entity will focus on innovative, sustainable packaging with global scale and supply chain flexibility.<\/p>\n

Amcor will own approximately 63% of the combined entity, with Berry holding the remaining 37%.<\/p>\n

<\/p>\n

<\/p>\n

\n