Georgia-Pacific Consumer Products LP And SPG Holdings LLC Reach Agreement For Georgia-Pacific To Acquire SPG
Closing of the acquisition, subject to regulatory review and customary closing conditions, is anticipated later this year. Financial details of the agreement are not being disclosed. Jefferies LLC acted as exclusive financial advisor to SPG Holdings LLC in connection with this transaction.
"SPG has skilled employees, high-quality assets, efficient operations and an excellent customer service model, and will be a significant addition to the Georgia-Pacific Professional business," said Kathy Walters, who leads Georgia-Pacific's Consumer Products Group that includes the Professional business.
Greg Santaga, CEO of SPG, said, "We have enjoyed many great years with the support of CIC Partners and are looking forward to building upon that success with Georgia-Pacific. We believe Georgia-Pacific provides the best, long-term option for our employees, our customers and our shareholders. The SPG organization and assets will fit well with the healthy and growing Georgia-Pacific Professional business."
Marshall Payne, chairman of SPG's board of directors and partner at CIC, added, "Greg Santaga and the founding team of SPG have been outstanding partners. SPG has done an excellent job of generating strong organic growth and enhancing the company's position in the foodservice specialty paper segment, resulting in a great outcome for our investors and management partners."
Scott Light, president, Georgia-Pacific Professional, added, "Georgia-Pacific believes SPG will help us to better serve our existing customers in the foodservice industry, particularly limited-service restaurants, as well as to help us expand our capabilities to further grow our business in these important segments."
Based in Atlanta, Georgia-Pacific and its subsidiaries are among the world's leading manufacturers and marketers of bath tissue, paper towels and napkins, tableware, paper-based packaging, office papers, cellulose, specialty fibers, nonwoven fabrics, building products and related chemicals. Our familiar consumer brands include Quilted Northern®, Angel Soft®, Brawny®, enMotion®, Sparkle®, Mardi Gras® and Vanity Fair®, as well as Dixie®. Georgia-Pacific has long been a leading supplier of building products to lumber and building materials dealers and large do-it-yourself warehouse retailers. Its GP Harmon subsidiary is among the world largest recyclers of paper, metal and plastics. The company employs approximately 35,000 people directly, and creates nearly 130,000 jobs indirectly. For more information, visit: www.gp.com.
ABOUT SPG HOLDINGS LLC
SPG is a leading specialty paper packaging supplier focused on providing quality products and specialized customer service to the foodservice industry. Our capabilities facilitate multiple product lines, streamlined logistics management and lower transportation costs. We are fortunate to be a supplier in an industry that recognizes our value proposition, which has resulted in enduring, strategic partnerships with many of the leading and fastest growing foodservice companies in the world.
ABOUT CIC PARTNERS
CIC Partners is a middle-market private equity firm that invests in growth-oriented companies primarily in the food, restaurant, healthcare and energy industries. CIC manages the personal capital of its investment team, operating partners and strategic investors and seeks to partner with owner-operators, founders and management teams. CIC looks for opportunities where it can leverage the collective experience of its investment team and its operating partners, who are successful CEOs and entrepreneurs, to guide, support and add value to portfolio companies. Based in Dallas, Texas, the firm has been generating wealth in private-equity investing for its investors and management teams for over 25 years. For additional information, please visit www.cicpartners.com.