The New Zealand-based parent company said it completed the takeover yesterday. The deal was sealed after Pactiv shareholders approved the transaction for $33.25 per share. The two companies reached an agreement for the acquisition in August, when the deal was said to be valued at $6bn.
Reynolds confirmed yesterday it had funded the takeover with a combination of senior secured notes and loans totalling $5bn.
In a separate announcement, the company confirmed it had appointed John T. McGrath as Pactiv Foodservice/Food Packaging chief executive officer with immediate effect. The 51-year-old will lead the $2.5bn unit, which also now includes Reynolds Foodservice business, following the retirement of previous post holder Pete Lazaredes.
McGrath was formerly vice president, sales and marketing for Pactiv’s Foodservice/Food Packaging Unit and he will report to Richard Wambold, CEO of Reynolds/Pactiv Foodservice and Consumer Products businesses.
Reynolds Group, based in Auckland, New Zealand, is a global manufacturer and supplier of consumer food and beverage packaging and storage products. Owned by Graeme Hart, the group operates through five subsidiaries: Reynolds Consumer, Reynolds Foodservice, SIG, Evergreen and Closures.
“Pactiv is an outstanding company,” said Hart. “It is a clear leader in its markets as a result of its broad product line and unique distribution system. I am excited about the opportunity to grow Pactiv’s foodservice and Hefty consumer businesses and to be associated with the people who have made it such a successful company over the years. I am very pleased to add these businesses to our packaging group.”