Manufacturer of bubble envelopes faces opposition to acquisition
Sealed Air Corporation, a leading manufacturer of bubble envelopes and other packaging products, is facing possible opposition from their major shareowner to a planned business acquisition.
The news comes after Sealed Air recently unveiled plans to acquire Diversey Holdings for a reputed sum of 2.9 billion dollars. Diversey Holdings is a key player in the American chemical cleaning and hygiene industry, a market which has an estimated annual turnover of 40 million dollars. The acquisition was to be the first step in Sealed Air’s plans to enter this sector.
Davis Selected Advisers LP, a large investment firm based in Arizona, owns 26.8% of Sealed Air, making them the largest shareholder of the company. They have voiced “serious concerns” over the proposed acquisition, on the grounds that it may not be in the best interests of shareholders for Sealed Air to attempt to penetrate a new market in this manner.
Sealed Air are the world’s largest manufacturer of bubble wrap and padded Jiffy envelopes. The company operates in more than 50 countries worldwide, has a workforce of over 16,000, and global revenues of over 4.9 billion dollars in 2010. Through constant innovation and product development, they have remained at the top of their field for over five decades.
