Silgan Acquires Easytech Closures For $36.5M

Silgan Holdings Inc SLGN has acquired Easytech Closures S.p.A. for €31.5 million ($36.5 million), subject to customary adjustments, including net debt and working capital.
Easytech Closures manufactures and sells easy-open and sanitary metal ends used with metal containers primarily for food applications in Europe.
Easytech Closures operates a manufacturing facility in Fisciano, Italy, and is projected to generate about €38 million ($45 million) in sales in 2021.
Silgan expects the acquisition to be slightly accretive to its 2021 earnings, excluding the impact of required purchase accounting adjustments, with additional accretion in 2022.
With the acquisition, Silgan expects to realize annual synergies of about €4.1 million ($4.9 million) within 12 months.
Silgan funded the purchase with revolving loan borrowings under its senior secured credit facility. It held $164.82 million in cash and equivalents as of June 30, 2021.
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Price Action: SLGN shares are trading higher by 2.55% at $38.61 on the last check Monday.