Sonoco to sell temperature-assured packaging unit for as much as $725M

[paper mill: production of paper rolls for the printing industry - paper rolls in a factory]
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Sonoco Products (NYSE:SON [https://seekingalpha.com/symbol/SON]) said Monday it agreed to sell [https://seekingalpha.com/pr/20223775-sonoco-to-sell-temperature-assured-packaging-business-to-arsenal-capital-partners] its ThermoSafe unit, a provider of temperature-assured packaging, to Arsenal Capital Partners for as much as $725M, comprised of $650M at closing and additional consideration of as much as $75M if certain performance measures in 2025 are met.

ThermoSafe offers a range of products featuring industry-leading technology, including bio-based insulation materials and reusable technologies, that encompasses refrigerated, frozen or controlled room temperature applications, the company said; in 2024, the business generated more than $240M in sales and ~$50M in pro forma adjusted EBITDA.

"With the planned sale of ThermoSafe, we are completing the next step in Sonoco’s portfolio transformation, which has resulted in significantly streamlining our operations from a large portfolio of diversified businesses into two core global business segments," Sunoco Products (NYSE:SON [https://seekingalpha.com/symbol/SON]) President and CEO Howard Coker said.

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