28th Aug 2018 09:10
LONDON (Alliance News) - Plastic products firm RPC Group PLC said on Tuesday it has agreed to sell the Foodservice business of Letica Corp to Graphic Packaging International LLC for USD95 million on a cash-free, debt-free basis.
The sale is subject to regulatory approval in the US. As a result of the agreement, FTSE 250-listed RPC halso as agreed to settle the earn-out associated with the acquisition of Letica in March 2017 for USD640 million.
A total of USD7.5 million will be paid to Letica shareholders once the Foodservice business sale is completed.
Outside Letica, RPC said it has completed preparations to sell off the spirits closures business at Bridge of Allan, Scotland, and the business has been marketed to interesting parties. Preparations for the sale of its European injection moulding automotive business also are currently underway.
Shares in RPC Group were up 1.1% at 773.58 pence on Tuesday.
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