DS Smith to sell plastics business to Olympus Partners for $585 millionStaff Writer | March 6, 2019
DS Smith is pleased to announce it has reached agreement to sell the Plastics division to Olympus Partners for an enterprise value of $585 million.
Acquisition This represents a multiple of 9.9x EBITDA
The transaction is subject to customary closing conditions including regulatory approvals, with completion expected to take place in the second half of this calendar year.
We expect net cash proceeds after taxation, transaction adjustments and expenses of approximately £400 million.
The Plastics division comprises the plastics operations of DS Smith, including flexible plastics, rigid plastics and foam products.
Gross assets of the business as at 31 October 2018 were £223 million and profit before tax for the 12 month period to 31 October 2018 was £28 million. ■