Berry Plastics Corporation

Acquisition Financing

November 2003 and December 2007

Berry Plastics Corporation is one of the world’s leading manufacturers and suppliers of a diverse mix of plastic packaging products including open top containers, closures, aerosol overcaps, drink cups, prescription vials, flexible packaging, tapes and specialty coated products. Berry Plastics sells a broad range of products to over 13,000 customers including McDonald's, Procter & Gamble, Hershey, Coca-Cola, Wal-Mart and Bayer as well as smaller specialty businesses.

Situation: 

Berry Plastics was looking to raise capital for an add-on acquisition and looked to do a follow-on transaction with W. P. Carey after having completed a $33 million sale-leaseback under similar circumstances in 2003.

Financing: 

The W. P. Carey Group purchased and leased back Berry’s headquarters and largest production facility in Evansville, Indiana as well as two manufacturing facilities in Baltimore, Maryland and Lawrence, Kansas for approximately $87 million. 

Outcome: 

Berry was able to raise the necessary funds for the add-on acquisition.