The definitive merger agreement will see Berry shareholders receive a fixed exchange ratio of 7.25 Amcor shares for each Berry share held upon closing of the agreement.
The exchange will result in Amcor and Berry shareholders owning approximately 63% and 37% of the combined company, respectively.
In a joint announcement, the two companies said they hope to become “a global leader in consumer packaging solutions”, notably with “a broader flexible film and converted film offering for customers”.
The combined company will continue operating under the name “Amcor” with current Amcor CEO Peter Konieczny remaining in position. Its headquarters will stay in Zurich, Switzerland.
Upon completion of the transaction, Amcor’s board of directors will expand to 11 directors, four of whom will be nominated by Berry.
The transaction has been unanimously approved by the boards of directors of both Amcor and Berry and the closing date is set for the middle of the 2025 calendar year subject to approvals.
Konieczny said: “This combination delivers on our strategy to accelerate growth by putting the customer first, elevating the role of sustainability and orienting the portfolio toward faster growing, higher margin categories.
“We will have a more complete and more sustainable product offering, supported by stronger innovation capabilities, global scale and supply chain flexibility. We will help global and local customers grow faster and operate more efficiently with a team of exceptional talent. As a result, this combination also drives a step change in annual free cash flow, earnings growth and value creation for our shareholders.
“I, and the Amcor team, look forward to joining with Berry to accelerate change and real impact for our customers and their consumers.”
Berry CEO, Kevin Kwilinski, added: “Over the past year, Berry has undergone a significant transformation, completing the spin-off of our HHNF business, enhancing our product mix and optimising our portfolio.
“Our combination with Amcor is a logical next step in our company’s evolution, and it is a testament to our entire team that we’re well positioned to build on this momentum and deliver even more value to our shareholders. We expect to better serve customers through a comprehensive and innovative consumer packaging portfolio and a complementary geographic coverage.
“Importantly Berry and Amcor have aligned philosophies focused on safety, employee experience, sustainability, innovation, customer intimacy, and functional excellence. We will be better together, and I look forward to all we will achieve as a combined organisation.”
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