Global packaging leader TricorBraun has entered into a definitive stock purchase agreement with funds managed by Ares Management Corporation’s Private Equity Group and Ontario Teachers’ Pension Plan Board.

WHO: Founded in 1902, TricorBraun is North America’s largest distributor of primary packaging and one of the largest purchasers of packaging in the world. The company provides innovative solutions across a wide array of customer end markets in plastic and glass containers, closures, dispensers, tubes, and flexibles. TricorBraun operates from 50 locations globally throughout North America, Europe, and Asia.

IN THEIR OWN WORDS: “Ares and Ontario Teachers’ are the right partners to help us expand on our steady growth as we continue to build the best place for the best people in packaging,” said TricorBraun CEO Court Carruthers. “We have had a tremendously successful partnership with AEA, culminating with record sales in 2020, and we look forward to working with Ares and Ontario Teachers’ to deliver even greater value to our customers and suppliers over the coming years.”

“We believe that TricorBraun’s deep expertise, entrepreneurial approach, strong track record, and exceptional culture differentiate the company from its peers,” said Brian Klos, Partner, Ares’ Private Equity Group. “We look forward to working with Court and TricorBraun’s strong management team to drive the next phase of the Company’s growth, both organically and through strategic acquisitions.”

“TricorBraun is uniquely positioned to serve the requirements of the packaging industry,” said Karen Frank, Senior Managing Director, Equities, at Ontario Teachers’. “The Company has made significant investments in top talent and operations, and will seek to capitalize on those to drive long-term growth in the years ahead. We are thrilled to have the opportunity to partner with TricorBraun through its next chapter.”

“We are proud of our work with Keith, Court, and the TricorBraun management team to help drive growth through a number of successful initiatives, creating significant long-term value,” said Tom Pryma, Partner, AEA. “We value our strong partnership, and we are excited to continue our support of TricorBraun’s growth strategies.”

DETAILS:

• Ares and Ontario Teachers’ will acquire a majority interest in TricorBraun.
• TricorBraun reportedly has annual sales of $1.5 billion with more than 1,100 team members in 50 locations.
• TricorBraun’s management team, including Executive Chairman Keith Strope and President and CEO Court Carruthers, will continue to lead the company following the close of the transaction. TricorBraun’s leadership team will also retain a significant investment in the company, as will its current majority owner, AEA Investors.
• The transaction is expected to close in the first quarter of 2021 and is subject to customary closing conditions and regulatory approvals.
• TricorBraun was acquired by AEA Investments in 2016.