Glatfelter Completes Acquisition of Jacob Holm – Nonwoven Industry Magazine
Glatfelter Corporation completes the previously disclosed acquisition of Jacob Holm for aggregate consideration of approximately $ 302 million, including fire extinguisherst of Jacob Holm’s existing debt and other adjustments. This transaction was funded by a new issuance of $ 500 million senior unsecured notes.
The the addition of Jacob Holm will significantly increase the scale and diversify into attractive and complementary product categories with innovative, high-performance spunlace nonwoven technologies and advanced plant-based sustainable solutions serving the growing categories of wipes, critical cleaning, healthcare and ‘hygiene. Glatfelter acquired four additional manufacturing sites, a converting operation and six sales offices located in America, Europe and Asia, as well as approximately 760 employees worldwide.
“We are very happy to complete the acquisition and adding that of Jacob Holm premium products and advanced fibers for Glatfelter industry-leading composite fiber and airlaid product portfolio. that of Jacob Holm wide range of products, including the Sontara brand, and blue-chip clientele will expand Glatfelter’s portfolio to include surgical fields and gowns, wound care, essential cleansers, face masks, face wipes and cosmetic masks, to provide a suite of world-class nonwoven technologies, applications and expertise. We look forward to leveraging the combined talents of Jacob Holm and Glatfelter employees to better serve customers, accelerate innovation in sustainable engineered materials, and achieve meaningful value creation. In addition, we will be well positioned to achieve economies of scale and significant synergies in the areas of procurement, operational excellence, capital deployment and general and administrative costs.“said Dante C. Parrini, Chairman and CEO of Glatfelter.
Jacob Holm generated $ 401 million in net sales and $ 42.5 million in adjusted EBITDA for the twelve-month period ended June 30, 2021. Glatfelter believes these results include a demand advantage related to COVID estimated between 10 and 15 million dollars of adjusted EBITDA. . This acquisition is expected to generate approximately $ 20 million in annual synergies within 24 months.