Sonoco to buy Germany's Weidenhammer for about $383 million in cash

Mon Aug 25, 2014 3:40am EDT

Aug 25 (Reuters) - Sonoco Products Co on Monday said it agreed to buy Germany's privately-held Weidenhammer Packaging Group for about $383 million in cash, which would give a boost to its packaging business.

The deal is expected to increase Sonoco's global consumer-related packaging and services business to about $2.8 billion in annual sales, the company said in a statement.

Sonoco, which provides a variety of consumer packaging, industrial products and protective packaging, said the deal should be accretive to the company's 2015 base earnings in the range of $0.09 to $0.14 per share.

Sonoco said it intends to fund the acquisition through a combination of existing cash and debt.

Macquarie Capital served as a financial advisor to Sonoco, while Weidenhammer was represented by Deloitte Corporate Finance Advisory. (Reporting by Arnab Sen in Bangalore; Editing by Sunil Nair)

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