By: Jessica Holbrook
October 3, 2012
ATLANTA (Oct. 3, 12:05 p.m. ET) — BWay Parent Co. Inc., a rigid packaging supplier that operates through its subsidiary BWay Corp., has been acquired by private equity firm Platinum Equity LLC in a deal worth $1.24 billion.
Platinum Equity will acquire BWay Parent Co. from funds managed by Madison Dearborn Partners LLC via a merger. BWay’s senior executives, along with a number of other employees, will invest alongside Platinum.
The deal is being financed through a combination of equity and debt financing, and is expected to close in the fourth quarter of 2012.
Madison Dearborn acquired BWay in 2010.
Atlanta-based BWay Corp. makes rigid packaging — including pails, drums and tight head containers — from plastic, metal and hybrid materials. It operates 22 plants in the U.S. and Canada.
Earlier this year, BWay sold its blow molded bottle business to Oakland, Tenn.-based Ring Container Technologies Inc.
BWay Corp. reported sales of $1 billion in 2011. Plastics represented about 40 percent of the company’s net sales in 2011, according to SEC filings.