Sealed Air Corporation announced it has entered into a definitive agreement to sell its rigid medical packaging business to a private equity firm, Mason Wells Buyout Fund III, L.P. Sealed Air expects to receive proceeds of $125 million from the sale.
Sealed Air's rigid medical packaging business was formed from three previous acquisitions: Nelipak Holdings, Alga Plastics and ATE Costa Rica, which includes facilities in each of Ireland, the Netherlands, the U.S, and Costa Rica.
“The transaction is another step in our commitment to a disciplined approach to portfolio management,” said Jerome A. Peribere, president and CEO, Sealed Air. “Our rigid medical business has a strong global position but no longer presents a strategic fit for us. By further focusing our portfolio, we can maximize our investment in new innovations which are core to our market-driven business. Sealed Air remains committed to the medical packaging industry and will continue to manufacture medical and pharmaceutical films.”
The transaction is expected to be completed in the fourth quarter of 2013, subject to the satisfaction of customary closing conditions. The price will be subject to certain purchase price adjustments.