British packager RPC Group Plc said on Friday it had agreed to be acquired by plastics maker Berry Global Group Inc, ditching an earlier offer made by Apollo Global Management LLC in January.
Berry Global is offering 793 pence in cash for each RPC share, valuing the company at £3.34 billion (€3.9 billion), and is 11 pence higher than Apollo's offer.
Evansville, Indiana-based Berry Global, which plans to fund the purchase through debt, began showing interest in RPC after Apollo had sealed the deal.
Apollo did not sweeten its offer even though some analysts noted that it could have been higher.
3.5% Premium
The Berry Global offer represents a premium of 3.5% to RPC's closing price on Jan. 30, the last day before Berry said it was weighing a bid for RPC, and 1.4% higher than Apollo's bid.
RPC, Europe's biggest plastic packaging company, said on Friday it had revoked support for Apollo's offer in favour of Berry Global and added its directors would recommend that shareholders vote in favour of the new offer.
News by Reuters, edited by ESM. Click subscribe to sign up to ESM: European Supermarket Magazine.
