Atlanta, Georgia, USA 02 November 2018 -- (GLOBE NEWSWIRE) -- WestRock Company (NYSE:WRK), a leading provider of differentiated paper and packaging solutions, announced today that it has completed the acquisition of KapStone Paper and Packaging Corporation (NYSE:KS).
"I am pleased that we have completed the acquisition of KapStone Paper and Packaging, and I welcome our new teammates to WestRock," said Steve Voorhees, chief executive officer of WestRock. "The addition of KapStone enhances our differentiated portfolio of paper and packaging solutions and will enable us to serve our customers better across our system. We look forward to delivering on the opportunities that the addition of KapStone provides for our team, our customers and our stockholders."
The company expects to achieve approximately $200 million in synergies and performance improvements by the end of fiscal 2021 through the integration of the former KapStone operations into WestRock's corrugated business. The acquisition also strengthens WestRock's presence on the West Coast of the United States and broadens WestRock's portfolio of differentiated paper and packaging solutions with the addition of attractive paper grades and distribution capabilities.
WestRock financed the transaction through the issuance of debt from a bank term loan facility, existing credit commitments and cash on hand.
Lazard served as lead investment bank and financial advisor to WestRock. Wells Fargo also acted as a financial advisor to WestRock and is the agent for a syndicate of banks that provided the financing for the transaction. Cravath, Swaine & Moore LLP acted as legal advisor to WestRock, and King and Spalding LLP served as antitrust counsel to WestRock.
WestRock (NYSE:WRK) partners with our customers to provide differentiated paper and packaging solutions that help them win in the marketplace. WestRock's 50,000 team members support customers around the world from more than 320 operating and business locations spanning North America, South America, Europe, Asia and Australia. Learn more at www.westrock.com.