Berry Global Group and Glatfelter Corporation have announced key dates for their anticipated spin-off and subsequent merger, marking a significant move in the packaging and engineered materials industries.
Key Dates and Details of the Transaction
It’s official: Berry has slated November 1, 2024, as the record date for the spin-off of its Health, Hygiene, and Specialties Global Nonwovens and Films business. The spin-off and merger with Glatfelter are expected to wrap up by November 4, 2024, pending all closing conditions.
On the big day:
- Berry will distribute shares of its wholly owned subsidiary, which holds the HHNF Business, to its stockholders.
- Spinco will merge into a subsidiary of Magnera Corporation, the new name Glatfelter will adopt post-merger.
- Berry stockholders will receive Magnera shares in exchange for their Spinco shares.
This move is poised to reshape ownership structures. Berry stockholders are anticipated to own about 90% of Magnera’s outstanding shares, while current Glatfelter shareholders will hold the remaining 10%.
What This Means for Shareholders
If you’re a Berry stockholder, here’s what you need to know:
- No Action Required: You don’t need to do anything to receive your Magnera shares.
- Fractional Shares: No fractional Magnera shares will be issued. Instead, they’ll be sold on the open market, and you’ll receive the net proceeds.
- Trading Dates: From November 1 to November 4, Berry shares will trade with “due-bills,” meaning they’ll come with the right to receive Magnera shares. Starting November 5, Berry shares will trade “Ex-Distribution,” without this entitlement.
It’s crucial to consult with your broker if you plan to sell your Berry shares around these dates to understand your rights fully.
About the Companies Involved
Berry Global Group
Berry Global Group, Inc. is a leader in innovative packaging solutions, aiming to make life better for people and the planet. With over 40,000 employees across more than 250 locations, they focus on sustainability and innovation to serve customers worldwide.
Glatfelter Corporation
Glatfelter Corporation specializes in engineered materials with a keen focus on innovation and sustainability. Their products enhance everyday life, from personal care items to medical and industrial applications. Headquartered in Charlotte, NC, they have a global presence with operations in multiple countries.
