NEWS

Neenah Paper completes purchase of FiberMark

Tuesday, Aug 04, 2015

Neenah Paper, Inc. had completed the previously announced purchase of all of the outstanding equity of ASP FiberMark, LLC from an affiliate of American Securities LLC on August 1, 2015, as the company said in the press release received by Lesprom Network.

The acquisition is expected to deliver synergies of $6 million per year within three years, with ongoing accretion (excluding one-time costs) of over $0.40 per share. The Company indicated it expects one-time costs in 2015 of approximately $5 million for transaction fees and integration.

The purchase price of $120 million, subject to adjustments for acquired cash and a working capital true up, resulted in a cash payment of $123 million at closing, and was financed through $80 million of cash on hand and the balance from available borrowing capacity on the Company's revolving credit facility.

FiberMark, with annual sales of over $160 million, is a specialty coating and finishing company with a strong presence in luxury packaging and overlapping technical product categories.

Neenah Paper is a leading global specialty materials company, focused on premium niche markets that value performance and image.

 

lesprom.com

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