Clayton, Dubilier & Rice said Feb. 7 that it agreed to sell Mauser Group NV to Stone Canyon Industries LLC. The deal is valued at $2.3 billion. Mauser, of Oosterhout, The Netherlands, supplies industrial rigid packaging products and reconditioning services. Bank of America Merrill Lynch and Citigroup acted as financial advisors to CD&R, while Latham & Watkins LLP provided legal counsel to CD&R. Goldman Sachs acted advised SCI while Gibson, Dunn & Crutcher LLP provided legal.
LONDON/ NEW YORK – Feb. 7, 2017 – Clayton, Dubilier & Rice announced today that it has agreed to sell Mauser Group N.V., a leading global supplier of industrial rigid packaging products and reconditioning services, to Stone Canyon Industries, LLC (“SCI”). SCI, through its subsidiary BWAY Corp., is the leading North American manufacturer of rigid metal and plastic containers.
The all-cash transaction is valued at $2.3 billion.
“Mauser is an exceptionally well-positioned business that has delivered strong and consistent performance under our ownership,” said CD&R Partner David Novak. “We believe that this transaction will benefit the market position and long-term growth prospects for both companies and prove to be rewarding for their employees and valued customers.”
Under CD&R’s ownership, Mauser achieved a number of important operational milestones, resulting in 9% per annum revenue growth and 15% per annum EBITDA growth. With 4,500 employees Mauser operates more than 100 manufacturing facilities in 88 strategic locations across 18 countries in Europe, North America, South America and Asia, serving more than 12,500 customers.
“We are proud of our association with the talented Mauser management team led by CEO Peter Schaefer,” said CD&R Partner Sonja Terraneo. “Working closely together, we not only drove operational excellence, but also pursued valuable new growth avenues and service offerings. CD&R remains strongly committed to investing in and supporting the growth of leading German-headquartered businesses.”
“Mauser has focused on driving strong, sustained revenues in attractive market segments with high growth potential,” said CD&R Operating Partner Vindi Banga, Chairman of Mauser. “In particular, the reconditioning services segment has enabled the company to provide ecological, economical, and socially responsible solutions to help customers both reduce costs and meet critically important sustainability requirements.”
“With today’s announcement, Mauser has achieved a new milestone which represents a strong validation of our growth strategy and opportunity to build additional value for employees and customers alike,” said Peter Schaefer, CEO of Mauser Group. “Together with BWAY, we will have a unique opportunity to continue our strong growth momentum.”
Ken Roessler, BWAY’s President and Chief Executive Officer, stated: “We welcome all of the Mauser employees to the SCI family. We look forward to working with Peter Schaefer and the Mauser management team in bringing together two great companies in the packaging and container industry. In addition to sales growth, this acquisition expands our product offering with innovative new products, which further support the company’s position as the premier supplier for rigid general line packaging.”
Bank of America Merrill Lynch acted as lead financial advisor, Citigroup acted as financial advisor, and Latham & Watkins LLP provided legal counsel to CD&R. Goldman Sachs acted as financial advisor and Gibson, Dunn & Crutcher LLP provided legal counsel to SCI.
About Clayton, Dubilier & Rice
With offices in London and New York, Clayton, Dubilier & Rice is a private investment firm with an investment strategy predicated on producing financial returns through building stronger, more profitable businesses. Since 1978, CD&R has managed the investment of $23 billion in 72 businesses, representing a broad range of industries with an aggregate transaction value of more than $100 billion. In addition to Mauser, the Firm’s current European portfolio includes six companies from across its four core industry sectors, consumer/retail, healthcare, industrial and services. www.cdr-inc.com
Mauser Group is a worldwide leading producer of industrial packaging with approx. 4,500 employees and consolidated revenue of over €1.4 billion. Founded in 1896 and headquartered in Oosterhout, The Netherlands, the company has influenced the international market through innovative packaging technologies. The portfolio for customers in the chemical, agrochemical, petrochemical, and pharmaceutical sectors as well as in the food and beverage industries, includes plastic packaging, fiber drums, steel drums, Intermediate Bulk Containers (“IBC”), and reconditioning services through the National Container Group (“NCG”), a Mauser subsidiary. Mauser provides sustainability-oriented, full-cycle services – from production to recycling (“ECO-CYCLE®”). With more than 100 Mauser/NCG sites and multiple joint ventures in Europe, the Americas and Asia plus two licensee networks for plastic and steel packaging, the company is a presence around the globe. www.mausergroup.com