IBC Capital, an affiliate of global investment firm KKR, will acquire Singapore-based packaging company Goodpack for approximately S$1.4bn ($1.1bn).
Established in 1980, Goodpack provides multi-modal reusable metal box systems known as intermediate bulk containers (IBC) to global customers in the rubber, chemical, automotive and food processing sectors. It has a fleet of 3.2 million IBCs spread across over 5,000 delivery and collection points worldwide.
In consideration for the share transfer, Goodpack shareholders will be entitled to receive S$2.50 per Goodpack share in cash, which represents a premium of 44.7% to the company 12-month volume weighted average price (VWAP) to 18 March. It also represents a premium of 34.3% to the company's six-month VWAP, 30.8% to Goodpack's 1-month VWAP, and 23.2% to Goodpack's closing price on that date.
Goodpack executive chairman David Lam said that the consideration price of S$2.50 a share provides an opportunity for the company's shareholders to realise their investment in its shares.
"We are delighted to receive KKR's proposal to acquire the company by way of a scheme of arrangement," Lam added.
Upon the completion of the share scheme, Goodpack will become a wholly owned subsidiary of IBC Capital.