DS Smith wraps up Europac takeover

International packaging specialists DS Smith (LON:SMDS) has announced a proposed takeover of Europac, in what would be the company’s largest ever acquisition. The firm said that it had received undertakings from Europac shareholders owning more than 58% of outstanding shares to accept the offer, which values the takeover target at £1.65 billion.

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Management said that the deal would be funded by the fully underwritten issue of £1 billion’s worth of new shares, with the remainder being covered by a committed new debt facility. Assuming that the deal receives regulatory approval, it is expected to complete during the final quarter of 2018.

Shares in DS Smith stood at 580.20p at 1230 BST, a rise of 2.70% over this morning’s opening price.