Danish sugar, food ingredients and packaging group Danisco announced this week that is is to sell its flexible packaging unit to a new joint venture led by Australian Amcor, taking a 25 per cent stake in the new firm. Danisco said it would receive an initial cash payment of up to 242 million euros ($218.2 million) from Amcor as well as an earn-out of up to some 100 million euros linked to the future profitability of the joint venture. The joint venture is subject to the approval of the European Union and other required regulatory approvals. If approved it will create the largest producer of flexible packaging in Europe, with estimated sales of 1,100 million euros, the company claimed. Amcor will have 67 per cent of the new firm, with Finnish privately-owned Alhstrom to have an eight per cent stake. Source: Reuters
