Berry and Glatfelter choose brand name for new US$3.6B division amid merger talks
01 Aug 2024 --- Berry Global Group and Glatfelter Corporation have announced that the proposed merger of Berry’s Health, Hygiene and Specialties Global Nonwovens and Films (HHNF) business with Glatfelter will progress under the brand name Magnera, establishing a specialty materials industry giant.
Magnera will be formed from the spin-off and merger of Berry’s HHNF business with Glatfelter.
The combined company will serve thousands of customers worldwide, offering a wide range of products, including components for absorbent hygiene products, protective apparel, wipes, specialty building and construction products and products serving the F&B industry.
The deal will create a business at scale, to better serve the combined customer base, offering a wide and diversified range of products, market analyst Neil Farmer tells Packaging Insights.
Furthermore, Berry Global will become a US$10.2 billion company, totally focused on consumer goods packaging, as a result of the deal and the separation of its HHNF businesses.
“Magnera will become a US$3.6 billion company as a result of the deal,” predicts Farmer.
Berry shareholders will own 90% of a new company, with Glatfelter shareholders owning 10%. The new name and identity will help establish the business as a stand-alone operation with 46 manufacturing locations around the world, he continues.
“As for Magnera, the new operation will have a laser focus on the future in an attractive and expanding market.”
Developing original materials
Magnera will leverage a broad platform of 46 global manufacturing facilities, offering its customers innovative solutions more quickly from closer locations — minimizing environmental impact.
Curt Begle, president of Berry’s Health Hygiene & Specialties Division, who will lead Magnera as CEO, says: “Magnera’s purpose is to better the world with new possibilities made real. By continuously co-creating and innovating with our partners, we will develop original material solutions that make a brighter future possible.”
“With a breadth of technologies and a passion for what we create, Magnera’s solutions will solve end-users problems every day.”
Magnera will have a broad product offering in high-growth markets for polymer and fiber-based product applications.
Tarun Manroa, current EVP and chief strategy officer for Berry and future Magnera chief operating officer, says: “We’re truly excited about how our vibrant new brand builds upon both companies’ history and unifies diverse teams under a single identity with a focus on the future.”
“With increasing demand for premium and custom products, we believe we are perfectly placed to offer our customers more choice and flexibility to meet their needs.”
The merger will create an expanded portfolio of products and solutions to better serve the combined company’s customers at scale.
“It looks like a win-win for Berry shareholders and customers alike,” says Farmer.
He expects the merger to close during the second half of this year.
By Natalie Schwertheim and Louis Gore-Langton
