Lake Forest, Illinois, USA, 01 April 2010 – Pactiv Corporation (NYSE: PTV) today announced it has completed its purchase of the stock of PWP Industries, a leading manufacturer of amorphous polyethylene terephthalate (APET) disposable products. PWP’s 2009 sales were approximately USD 140 million. The purchase price of the acquisition is USD 200 million. The transaction has been financed through use of the company’s revolving credit agreement.
PWP primarily manufactures a range of APET food-service containers for several channels, including packer processor bakeries, supermarkets, and quick service restaurants. PWP operates three manufacturing facilities in the United States, and a facility that processes post-consumer recycled PET. The company employs approximately 600 people. PWP’s growth was largely facilitated by equity investor Omninet Capital LLC, a Los Angeles-based diversified investment firm, and as an investment by its manager HPC Industries LLC, also headquartered in Los Angeles, California.
“We are pleased to have completed the purchase of PWP in a timely manner. This acquisition is consistent with our strategy and is an excellent fit with our customer base and ‘one-face-to-the-customer’ operating model. We expect PWP to generate a return that corresponds with the rest of our business within two to three years,” said Richard L. Wambold, chairman and chief executive officer of Pactiv Corporation.
Pactiv Corporation (NYSE: PTV) is a leader in the consumer and food service/food packaging markets it serves. With 2009 sales of USD 3.4 billion, Pactiv derives more than 80% of its sales from market sectors in which it holds the No. 1 or No. 2 market-share position. Pactiv’s brand products include waste bags, slider storage bags, disposable tableware, and disposable cookware. Pactiv’s food service and food packaging offering is one of the broadest in the industry, including custom and stock products in a variety of materials. For more information, visit www.pactiv.com.