Packaging Corp. to acquire Columbus Container
Packaging Corporation of America announced that it has entered into a definitive agreement to acquire substantially all of the assets of Columbus Container, an independent corrugated products producer, in a cash-free, debt-free transaction for a cash purchase price of $100M. Under the terms of the agreement, PCA will acquire a full-line corrugated products facility located in Columbus, Indiana, five warehousing facilities and other related operations located in Indiana and Illinois. The transaction is structured as a purchase of assets resulting in a full step-up of the assets to fair market value. Closing is subject to certain customary conditions and regulatory approval and is expected in Q4. The company expects to finance the transaction with available cash on hand.