Sonoco to Acquire Eviosys, Creating The World's Leading Metal Food Can and Aerosol Packaging Platform

Core Acquisition Details - Sonoco Products Company has announced an agreement to acquire Eviosys for approximately $3.9 billion, which is expected to be immediately accretive to adjusted EPS and over 25% accretive to 2025 expected adjusted EPS [1][6][18] - The acquisition is part of Sonoco's strategy to enhance its leadership in metal food can and aerosol packaging, expanding its total addressable market in metal packaging to approximately $25 billion globally [5][18] Financial and Operational Synergies - Sonoco anticipates achieving over $100 million in synergies from the integration of Eviosys within 24 months, focusing on operational excellence and customer relationships [2][21] - Eviosys is projected to generate approximately $2.5 billion in revenue and $430 million in adjusted EBITDA for 2024, with a 50% increase in EBITDA since 2021 [3][41] Strategic and Portfolio Transformation - The acquisition supports Sonoco's portfolio transformation strategy, which includes a divestiture plan aiming for at least $1 billion in proceeds to fund deleveraging and high-return capital investments [3][7][23] - Sonoco intends to maintain an investment-grade credit profile and plans to reduce net leverage below 3.0x within 24 months post-transaction [8][23] Sustainability and Market Position - The combined management teams of Sonoco and Eviosys are committed to enhancing sustainability initiatives, integrating sustainable solutions across regions and end markets [9][24] - The acquisition builds on Sonoco's previous acquisition of Ball Metalpack, further solidifying its position in the core metal packaging business [20]