Sonoco Products Company announced the sale of its ThermoSafe business unit to Arsenal Capital Partners for up to $725 million.
ThermoSafe is a leading global provider of temperature-controlled packaging solutions for pharmaceuticals and other sensitive products.
The net proceeds from the sale will be used to reduce existing debt, marking a significant transformation for Sonoco.
Sale Details
The sale of ThermoSafe to Arsenal Capital Partners includes a base price of $650 million and potential additional consideration of up to $75 million based on 2025 performance measures.
ThermoSafe Profile
ThermoSafe, based in Arlington Heights, IL, generated over $240 million in sales in 2024 and employs approximately 900 associates across multiple regions worldwide.
Strategic Transformation
The sale of ThermoSafe signifies Sonoco's strategic shift towards a more focused portfolio with two core global business segments for sustainable growth.
- The sale of ThermoSafe allows Sonoco to streamline its operations and focus on core business segments, enhancing potential for sustainable growth and value creation.
- Sonoco's reduced net leverage ratio post-transaction is projected to be approximately 3.5x, reflecting a stronger financial position.
The sale of ThermoSafe marks a significant milestone in Sonoco's portfolio transformation, aligning with the company's strategic goals for growth and value creation. Sonoco looks forward to leveraging this transaction to drive sustainable growth and build on its industry leadership.