{"id":6846,"date":"2025-05-01T06:28:29","date_gmt":"2025-05-01T10:28:29","guid":{"rendered":"https:\/\/www.packagingindustrynews.com\/?p=6846"},"modified":"2025-05-01T06:28:29","modified_gmt":"2025-05-01T10:28:29","slug":"amcor-completes-merger-with-berry-global","status":"publish","type":"post","link":"https:\/\/www.packagingindustrynews.com\/?p=6846","title":{"rendered":"Amcor completes merger with Berry Global"},"content":{"rendered":"


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Amcor has identified $650m of synergies for the transaction. Credit: Amcor\/PR Newswire.<\/figcaption><\/figure>\n<\/p><\/div>\n

Packaging solutions provider Amcor has completed its all-stock combination with Berry Global, a fellow provider of packaging solutions.<\/p>\n

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Berry Global employs more than 34,000 people across over 200 locations. The company collaborates with its customers in the development, design, and manufacture of innovative products with a focus on the circular economy.<\/p>\n

With this deal, Amcor enhances its position in the consumer and healthcare packaging solutions sector with unique material science required to change product development and meet consumers\u2019 sustainability aspirations.<\/p>\n

With multiple new growth opportunities and $650m of identified synergies, Amcor is well-placed to deliver significant near- and long-term value for customers and shareholders.<\/p>\n

In fiscal year 2026 (FY26), before taking into account growth of the underlying business, Amcor expects the delivery of $260m of pretax synergies alone to drive adjusted earnings per share accretion of approximately 12%.<\/p>\n

By the end of FY28, the company expects total pretax synergy benefits to build to approximately $650m and to have delivered an additional $280m in one-time cash benefits from working capital improvements.<\/p>\n

Including full run rate synergies, annual cash flow is expected to exceed $3bn by FY28, providing significant capacity for Amcor to fund organic reinvestment, value accretive mergers and acquisitions, and shareholder returns through dividends and share repurchases.<\/p>\n

Amcor CEO Peter Konieczny said: \u201cThis combination delivers on our strategy to become a stronger company with a broader, more complete offering for customers and enhanced positions in attractive categories.<\/p>\n

\u201cOur focus now turns to delivering on synergies and growth opportunities, including leveraging our extensive global footprint and enhanced innovation and R&D [research and development] capabilities, while also further refining our portfolio.<\/p>\n

\u201cThe outstanding work our teams have completed over the past several months enables Amcor to enter fiscal 2026 in a better position than we anticipated, with a synergy run rate that will start strong and build quickly through the year.\u201d<\/p>\n

The deal comes six years after the $6.8bn merger<\/a> between Amcor and Beamis.<\/p>\n

In another development, Berry Global reported net sales of $2.5bn for the second quarter of 2025, which is similar compared to the prior year\u2019s quarter at $2.5bn.\u00a0<\/p>\n

During the second quarter ending 29 March 2025, the company posted a net income of $193m, up 66% compared to $116m in the same period a year ago.<\/p>\n

The company\u2019s operating income in the latest quarter was $391m, which is also up compared to $182m recorded last year.<\/p>\n

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