Berry Global Group (BERY) M&A Announcement summary

Deal rationale and strategic fit

• Creates a global leader in consumer and healthcare packaging with complementary portfolios, minimal overlap, and expanded product offerings, serving over 20,000 customers in 140+ countries.

• Strengthens positions in high-growth, high-margin categories such as healthcare, protein, beauty, liquids, pet food, and food service.

• Accelerates development of sustainable packaging solutions through combined R&D investment, $180 million annual spend, 1,500+ R&D professionals, and 10 innovation centers.

• Enhances geographic reach and supply chain resilience, with about 70,000 employees and 400 production facilities globally.

• Unlocks opportunities for portfolio refinement and focus on high-growth categories, aligning with long-term strategy for growth and value creation.

Financial terms and conditions

• All-stock transaction: Berry shareholders receive 7.25 Amcor shares per Berry share, owning about 37% of the combined company; Amcor shareholders own about 63%.

• Combined revenues exceed $24 billion, with $4.3 billion adjusted EBITDA and 18% EBITDA margins post-synergies.

• Transaction values Berry's common stock at $73.59 per share.

• Amcor to maintain NYSE and ASX listings, with global head office in Zurich and significant U.S. presence.

• Amcor entered a $3 billion bridge commitment to refinance part of Berry's debt and will assume the remainder at close; expected net leverage of 3.3x at close, with a path to de-lever below 3.0x within the first year.

Synergies and expected cost savings

• $650 million in annual synergies by year three, including $530 million from cost, $60 million from growth, and $60 million from interest/tax synergies.

• $280 million in one-time cash benefits from working capital efficiencies, offsetting integration costs.

• Over 35% adjusted cash EPS accretion and double-digit ROI expected after three years.

• Additional $100–$150 million in Berry cost savings by 2027 are separate from identified synergies.