Private Equity Firm CD&R Acquires Bubble Wrap Maker Sealed Air in $6.2 Billion Deal
Sealed Air, the Charlotte-based manufacturer of bubble wrap, has agreed to a $6.2 billion buyout by private equity firm Clayton, Dubilier & Rice (CD&R). The all-cash deal offers shareholders $42.15 per share—a 2.6% discount to Friday's closing price but a 16% premium over levels before acquisition rumors surfaced.
The transaction underscores private equity's growing appetite for packaging and industrial firms grappling with volatile demand and rising costs. Taking such companies private allows restructuring away from public market scrutiny. "This delivers significant value for stockholders," said Sealed Air Chair Henry Keizer, noting the board evaluated alternatives for over a year.
Sealed Air retains a 30-day 'go-shop' period to solicit competing bids. The deal is expected to close by Q4 2024, pending regulatory approvals.
