RPC Group has announced plans to acquire Global Closure Systems in a deal worth €650m.
Global Closure Systems generated sales of €560m last year with pre-tax earnings of more than €82m. The deal, expected to be completed by the end of March 2016, would “create a significantly enhanced European platform in rigid plastic packaging,” the company said.
With manufacturing facilities in the US, Mexico, China, Thailand and the Philippines, the acquisition would allow GCS to extend RPC’s presence beyond European markets, it continued.
RPC chief executive Pim Vervaat said: “Today’s announcement marks a further key milestone in the execution of our Vision 2020 strategy. The proposed acquisition of GCS Group provides a compelling opportunity for RPC to expand its product offering with an extensive range of highly complementary closure and dispensing solutions and technologies.
“The combination will further strengthen RPC’s European platform in rigid plastic packaging, with our enhanced scale creating significant opportunities for procurement and efficiency synergies whilst providing additional platforms for growth outside Europe.
“We look forward to developing our enlarged platform to generate further value for our customers and shareholders,” he added.
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