StockMarketWire.com - Saint-Gobain has granted funds managed by affiliates of Apollo Global Management exclusivity after having received a purchase offer for Verallia of €2,945m (enterprise value).

This firm and binding offer is not subject to any financing conditions. Apollo is also currently in talks with Banque Publique d'Investissement (BPI) in connection with BPI's potential acquisition of a minority stake in Verallia.

Saint-Gobain says it chose Apollo for the quality of its offer and its support for the industrial project and for Verallia's employees.

Verallia is one of the leading manufacturers of glass bottles and jars in the world, generating €2,391 million in net sales and €230 million in operating income in 2014 (excluding Verallia North America, which exited the group in April 2014). It has 47 plants in 13 countries and employs nearly 10,000 people.

The agreement between Saint-Gobain and funds managed by affiliates of Apollo will be able to be finalised following the customary information and consultation procedures with the group's employee representative bodies. The completion of the transaction is subject to the approval of certain competition authorities, including the European Commission, and should be effective before the end of the year. Saint-Gobain chairman and chief executive Pierre-André de Chalendar said: "The sale of Verallia would complete Saint-Gobain's strategic refocus on the design, manufacture and distribution of innovative, high-performance solutions for the habitat and industrial markets, on which the Group continues to develop."


At 8:31am: [LON:COD] Compagnie De Stgobain share price was -0.29p at 42.4p



Story provided by StockMarketWire.com