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US and German firms looking at Rexam healthcare

By: PRW

November 18, 2013

Packaging groups in the United States and Germany are eyeing up Rexam's healthcare division, according to a published report by Reuters.

U.S. packaging firms Berry Plastics and Silgan Holdings and German company Gerresheimer are said to be competing for the business, Reuters news agency reported.

Bids are likely to come in just short of $1 billion.

Reuters reported that in addition to the three possible trade bids interest from private equity firms, including Bain Capital and KKR, had been tabled.

The healthcare business had been expected to go for around £650 million but some bids are said be closer to £550 million.

Last week Rexam said the process of selling off its healthcare division was "progressing well," with a deal likely either side of its Dec. 31 year end.

The group sold its personal care operation last summer in two deals, one to private equity firm Sun Capital, the other to Silgan Holdings.