Investcorp to Invest in Berlin Packaging

Investcorp to Invest in Berlin Packaging

By: Berlin Packaging Specialist
Date: October 20, 2019

Investcorp, the global asset management firm specializing in alternative investments, today announced that it has agreed to acquire a majority ownership interest in Berlin Packaging L.L.C., a leading supplier of rigid packaging in the United States. Terms of the transaction, which is expected to close in the third calendar quarter, were not disclosed.

Through 25 strategic locations throughout the U.S., Berlin Packaging supplies plastic, glass, and metal containers, closures, and dispensing systems to a wide variety of customers in the food & beverage, personal care, healthcare/OTC, and chemicals end markets. Chicago-based Berlin Packaging also provides value-added services such as packaging design and proprietary mold development, leasing support services, and transportation/logistics services — effectively acting as a “one stop shop” for all of the packaging needs of many of its customers. The company has annual revenues in excess of $300 million.

Investcorp has agreed to acquire a majority ownership interest in Berlin Packaging from Andrew T. Berlin, who has served as the company’s President and Chief Executive Officer for the past 19 years, and Melvin Berlin, a co-owner and Chairman of the business since 1988. Andrew Berlin, who remains CEO of the company, will also assume the title of Chairman and will invest a substantial amount of equity in the transaction.

David Tayeh, a Managing Director of Investcorp, said: “Guided by a company culture focused on adding value to its customers, Berlin Packaging has achieved an outstanding record of organic growth. We are excited to partner with Andrew Berlin and the entire Berlin management team to support the company’s continued organic growth, as well as growth through selective acquisitions.”

Mr. Andrew Berlin said: “Over the past 25 years, Investcorp has established a strong investment track record and reputation for supporting the growth of companies in a wide range of sectors, including distribution. We welcome them as our new partners as we continue to strive to thrill our customers and thereby achieve strong and sustainable growth.” Moreover, Mr. Berlin stated, “It was important to partner with a firm that shares the same Berlin Packaging culture and belief system and is committed to further building a company that returns increased wealth to our customers, suppliers and employees…and Investcorp fit the bill.”

The acquisition of Berlin Packaging was agreed to in Investcorp’s 2007 fiscal year, which ended on June 30, 2007. Fiscal 2007 was Investcorp’s first year as a UK-listed company following its secondary listing of GDRs on the London Stock Exchange in December 2006. On July 31, 2007, Investcorp will announce its results for the 2007 fiscal year.

Other private equity investments made by Investcorp in Fiscal 2007 were: Icopal, a producer of roofing and waterproofing membranes; Greatwide, a transportation and logistics services company; Armacell, a developer and producer of flexible technical insulation; and, Moody International, a provider of inspection services and outsourced personnel supply to the oil and gas, mining and construction sectors. Past and other present private equity investments by Investcorp include Tiffany & Co., Gucci, Carter's, Simmons, Jostens, FleetPride, American Tire Distributors and Prime Equipment.

Bank of America Securities acted as exclusive financial advisor to Berlin Packaging.

About Investcorp

Investcorp is a leading provider and manager of alternative investment products. It has offices in New York, London and Bahrain and is publicly traded on the London Stock Exchange (IVC) and Bahrain Stock Exchange (INVCORP). Investcorp has five lines of business: private equity, hedge funds, real estate, technology investment and Gulf growth capital. Founded in 1982, Investcorp has grown to become one of the largest and most diverse alternative investment managers in terms of both product offerings and geography. It currently has over $10 billion in invested assets under management. Further information is available at www.investcorp.com.