Sealed Air has announced a plan to pursue a spin-off of its Diversey Care division and the food hygiene and cleaning business within its Food Care division called New Diversey. The remaining Sealed Air business – New Sealed Air – will continue as an independent public company’.
If the plan goes ahead, Sealed Air’s shareholders would own 100 per cent of the common stock of New Diversey following completion of the spin-off. The plan is intended to allow New Sealed Air and New Diversey to focus on a distinct set of strategic objectives, creating enhanced shareholder value.
The transaction is expected to be completed in the second half of 2017.
[quote]“Sealed Air has created significant shareholder value by delivering leading innovations to our global customers, improving our quality of earnings and executing a disciplined capital allocation strategy,” stated Sealed Air president and CEO Jerome A. Peribere.[/quote]
[quote]“Our Board and management team continually evaluate options to enhance shareholder value and we believe this spin-off will allow both New Sealed Air and New Diversey to realise their full potential. [/quote]
[quote]“Following the spin-off, each company will be well-positioned for profitable growth through a proven business model and enhanced strategic focus, improved operating efficiencies and optimised capital allocation to enable investments in new disruptive technologies.”[/quote]
Upon completion of the spin-off, New Sealed Air will continue to provide food, product and medical packaging solutions, with a high-margin and technologically advanced business focused on profitable growth and strong cash flow globally. It will also continue to deliver knowledge-based solutions for waste reduction, resource conservation and product security.
New Diversey will be a pure-play, high-growth hygiene and cleaning solutions company led by Diversey Care president Dr. Ilham Kadri. With an integrated product offering comprised of floor care machines, tools, chemicals and services, New Diversey is said to be well-positioned to profitably gain share on a global basis.
[quote]“Diversey Care is a market leader thanks to its pioneering approach in the development of innovative solutions that create value for customers, including the Internet of Clean, Intellibot robotics, unmatched plant-based biodegradable chemistries and AHP disinfection technologies,” continued Mr Peribere. [/quote]
[quote]“Ilham and her management team have been instrumental in transforming and positioning Diversey Care for sustainable and profitable growth.”[/quote]