Rexam to sell Personal Care business for $709 million

Rexam PLC, a global consumer packaging company, announced the proposed sale of its Personal Care business for a total of $709 million in cash. The business is being sold in two parts: the Cosmetics, Toiletries and Household care products business (CTH) and the High Barrier Food packaging business (HBF). An affiliate of Sun Capital Partners Inc, a private equity firm, has made a binding offer for CTH for a total of $459 million in cash, subject to consultation with various European works councils. A subsidiary of Silgan Holdings Inc, a leading US based supplier of packaging for consumer goods products, has agreed to acquire HBF for $250 million in cash. Both transactions are subject to certain adjustments at completion.

The transactions are expected to complete in Q3 2012 for HBF and Q4 2012 for CTH and are conditional on certain regulatory approvals.

In total, the Personal Care business employs some 7,000 people in Europe, the US and Asia.