Carlyle snaps up Japanese packaging arm

City A.M. Reporter
Carlyle Group yesterday said it will buy a Japanese unit of US food packaging company Sealed Air at an undisclosed price, in the private equity firm’s second Japanese acquisition in a month.

Carlyle has agreed to acquire Diversey Japan, a major provider of cleaning, sanitation and hygiene products and services, from Sealed Air, the company said in a statement yesterday.

Sealed Air said in a separate statement that it would receive gross proceeds of around $377m (£234.5m) for the business, which generated approximately $321m in sales during the twelve months to the end of September.

The firm added that the sale will help it cut its debt pile and generate value for its shareholders.

Carlyle is the only global buyout firm in Japan with a fund that focuses solely on Japanese assets. The investment period of the fund, Carlyle Japan Partner ll, will expire next year.

Last month, Carlyle acquired Arizona-based Walbro Engine Management, an engine parts maker, from Sun Capital Partners, through Carlyle Japan Partner ll.