Veritiv Announces Agreement to Acquire Orora Packaging Solutions

ATLANTA, Sept. 3, 2024 /PRNewswire/ -- Veritiv, a leader in specialty packaging distribution, announced today it has entered into a binding agreement with Orora (ASX: ORA) to acquire the North American packaging and distribution business Orora Packaging Solutions (OPS)¹. This strategic acquisition will further position Veritiv as a leading provider of value-added products and solutions in specialty packaging distribution in North America.

"The combination of Veritiv and Orora Packaging Solutions will significantly enhance the value we deliver to our customers," said Sal Abbate, Chief Executive Officer of Veritiv. "By uniting two successful players with a shared commitment to innovation, sustainability, and exceptional customer experiences, we are poised to offer a wide range of products and value-added solutions that meet even the most complex packaging and supply chain needs.

"Our complementary business strategies and core values make this partnership a natural fit, and I am confident the integration will create a stronger, more agile organization that sets new standards for excellence. We are excited to bring together the talented employees, loyal customers, and trusted suppliers of both Veritiv and Orora Packaging Solutions, and we look forward to collaborating as one unified team."

This acquisition underscores Veritiv's dedication to enhancing its capabilities in the specialty packaging distribution sector, enabling the company to continue to provide innovative, sustainable, and value-added solutions from design to delivery.

"OPS has earned an exceptional reputation for the quality of our service offering to customers in the North America market across our manufacturing, visual display and distribution businesses," said Kelly Barlow, President of OPS. "The addition of OPS to Veritiv's packaging distribution platform will provide an even more compelling customer offering and significant value creation potential. Both companies have a customer-centric approach, which will be underpinned by a combined broad-based footprint, enhanced design and value-added services, and a laser focus on sustainability. We look forward to partnering with Veritiv to significantly enhance the value we deliver for our customers together."

"Today's announcement represents a significant new era for the OPS business as it transitions to Veritiv ownership. We are extremely proud of the way the OPS team has grown the business while part of the Orora Group and believe this is an exciting opportunity to join an industry leader in the North American packaging distribution market with differentiated capabilities," said Brian Lowe, Orora Managing Director and Chief Executive Officer.

The transaction is subject to regulatory approvals and satisfaction of other customary closing conditions and is expected to be completed in the fourth quarter of 2024.

Advisors and Financing

Veritiv obtained committed financing from its existing lender group – including BMO Capital Markets Corp, Goldman Sachs Bank USA, RBC Capital Markets, LLC, UBS Investment Bank, and Wells Fargo – as well as Morgan Stanley. Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC served as lead financial advisors to Veritiv, and BMO Capital Markets Corp, RBC Capital Markets, LLC, and Wells Fargo also served as financial advisors. Kirkland & Ellis LLP and Debevoise & Plimpton LLP served as legal counsel to Veritiv.

About Orora Packaging Solutions

Headquartered in Buena Park, CA, OPS (incorporating Orora Visual) is a leading manufacturer and distributor of sustainable, innovative packaging solutions to customers across the world, with nearly 70 distribution and manufacturing facilities, and approximately 3,000 employees.

About Veritiv

Veritiv Corporation, headquartered in Atlanta, is a leading full-service provider of packaging, jan-san and hygiene products, services and solutions. Additionally, Veritiv provides print and publishing products. Serving customers in a wide range of industries both in North America and globally, Veritiv has distribution centers throughout the U.S. and Mexico, and team members around the world helping shape the success of its customers. For more information about Veritiv and its business segments visit www.veritiv.com.

Safe Harbor Provision

This release contains certain forward-looking statements that reflect Veritiv's current views with respect to certain current and future events. Specific forward-looking statements include, among others, statements regarding the consummation of the proposed transaction. These forward-looking statements are and will be, subject to many risks, uncertainties and factors which may cause future events to be materially different from these forward-looking statements or anything implied therein. These risks and uncertainties include, but are not limited to: the timing, receipt and terms and conditions of any required governmental or regulatory approvals of the proposed transaction that could reduce the anticipated benefits of or cause the parties to abandon the proposed transaction; risks related to the satisfaction of the conditions to closing the proposed transaction (including the failure to obtain necessary regulatory approvals) in the anticipated timeframe or at all; disruption from the proposed transaction making it more difficult to maintain business and operational relationships, including retaining and hiring key personnel; the occurrence of any event, change or other circumstances that could give rise to the termination of the purchase agreement entered into in connection with the proposed transaction; risks related to disruption of management's attention from Veritiv's ongoing business operations due to the proposed transaction; significant transaction costs; the risk of litigation and/or regulatory actions related to the proposed transaction; global economic conditions; adverse industry and market conditions; the ability to retain management and other personnel; and other economic, business, or competitive factors. Any forward-looking statements in this release are based upon information available to Veritiv on the date of this release. Veritiv does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any statements expressed or implied therein will not be realized.

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SOURCE Veritiv Corporation