Glatfelter Completes Acquisition of Concert Industries Corp.
York, Pennsylvania-based Glatfelter announced it has completed its previously announced acquisition of Concert Industries Corp. from Brookfield Special Situations Management Limited, an affiliate of Brookfield Asset Management, for Canadian $246.5 million (U.S. $235 million) subject to a post-closing working capital adjustment.
Concert is a leading global supplier of highly absorbent cellulose-based airlaid non-woven materials, used to manufacture a diverse range of consumer and industrial products for growing global end-use markets, including feminine hygiene and adult incontinence products, specialty wipes and food pads. Approximately 80 percent of Concert's sales come from the feminine hygiene market, which is expected to grow at a compound annual rate of approximately 5 percent for the next four years.
Glatfelter financed the acquisition through a combination of cash on hand, proceeds from the 7-1/8 percent unsecured senior notes issued on Feb. 5, 2010 and borrowings under its existing revolving credit agreement.
Glatfelter will operate Concert as a third business unit along with its Specialty Papers and Composite Fibers business units.
“We are thrilled to add to the Glatfelter family of products another industry-leading global business that sells highly specialized, engineered fiber-based products to niche markets,” said George H. Glatfelter II, chairman and chief executive officer. “This acquisition combines the strengths of two highly regarded specialty producers and will build upon our respective relationships with premier global consumer products companies.”
These statements are based on management's current expectations and are subject to numerous risks, uncertainties and other unpredictable or uncontrollable factors which may cause actual results or performance to differ materially from the company's expectations.
For more information, visit www.glatfelter.com.