US-based industrial holding company Stone Canyon Industries (SCI) has completed the acquisition of Industrial Container Services from Centerbridge Partners in a transaction which an enterprise value of about $1bn.
BWAY Holding, a subsidiary of Stone Canyon Industries, has acquired the parent holding company of North American reusable container solutions provider Industrial Container Services (ICS).
BWAY Holding CEO Ken Roessler said: “We will immediately begin working together to execute on our strategy of providing sustainable packaging solutions to our customers, meaningful value for our shareholders, and enhanced career opportunities for our employees.”
ICS provides container solutions, container services, and container management systems to its customers.
The company offers complete container management systems, including reconditioning, manufacturing, distribution, used container collection and recycling services for all major industrial packaging types.
Under the deal, ICS shareholders have secured cash and stock, including investment funds affiliated with Centerbridge Partners.
Centerbridge senior managing director Kyle Cruz has been included in the board of BWAY, as the deal concluded.
BWAY has secured debt financing from Bank of America Merrill Lynch, Goldman Sachs Bank USA, BMO Capital Markets, and Citigroup Global Markets.
Goldman Sachs acted as financial advisor to SCI, while Piper Jaffray & Co. served as financial advisor to ICS.
Gibson, Dunn & Crutcher LLP served as legal advisor to SCI, while Kirkland & Ellis LLP acted as legal advisor to Centerbridge and ICS.
ICS president and CEO Veniez said: The combination of these great brands lays the foundation to create tremendous value and opportunities for our various stakeholders: employees, customers, and vendors alike. Our ability to offer a full suite of products and services across vast geographies is exciting.”
BWAY Holding provides industrial rigid packaging products and services to its customers. With over 9,000 employees, the company manages 115 plants across 20 countries in North America, Europe, Asia and South America.
Via its subsidiary, BWAY produces rigid metal containers such as paint cans, steel pails, aerosol cans, F-style containers, monotop cans, pour top cans, ammunition boxes and oil cans.
In addition, BWAY produces rigid plastic packaging solutions such as pails, drums, and hybrid paint cans.