Graphic Packaging Holding Company, a leading provider of packaging solutions to food, beverage, foodservice, and other consumer products companies, through its primary U.S. operating company, Graphic Packaging International, LLC., announced it has entered into a definitive agreement to acquire the Consumer Packaging Group business from Greif, Inc. for approximately $85 million. The transaction is expected to close in the first quarter of 2020, subject to standard closing conditions. Graphic Packaging will acquire seven converting facilities across the U.S. that produce over $200 million in annual revenue. The business is expected to generate approximately $20 million in annualized EBITDA, including synergies, over the 24-month period after the successful completion of the acquisition.

President and CEO Mike Doss said, "We are excited to announce the acquisition of the Consumer Packaging Group business from Greif, Inc. The transaction further diversifies our end-markets and enhances our service capabilities to growing mid-sized consumer goods and food service customers." Doss added, "The continued strategic investments we are making in our integrated mill and converting platform reflect our commitment to existing and new customers to provide the industry's most efficient production of the highest quality paperboard into sustainable packaging solutions."

Graphic Packaging has also assessed the impact of recently announced RISI Pulp and Paper market price changes and its current expectations for commodity input cost inflation. The Company remains committed to its 2020 Adjusted EBITDA and cash flow guidance provided on the fourth quarter and full year 2019 financial results call held January 28, 2020. Graphic Packaging will update 2020 projections to include the Consumer Packaging Group acquisition from Greif, Inc. after the successful completion of the transaction.