Onex to buy SGS for $813 million, make equity investment
(Reuters) - Onex Corp OCX.TO will acquire SGS International Inc, which provides packaging graphics services, for $813 million, the private equity firm said on Tuesday.
The deal calls for Onex Partners III to make a $260 million equity investment in SGS. That includes $65 million from Onex, a limited partner in the $4.7 billion private equity fund.
The SGS senior management team will also make an equity investment, the companies said.
"We are excited about our partnership with Onex given its long-term track record and experience with industry-leading businesses," SGS Chief Executive Officer Hank Baughman said in a statement.
Based in Louisville, Kentucky, SGS provides packaging graphics services to branded consumer products companies, retailers and the printers that service them. It employs more than 2,400 and has 37 production facilities across 14 countries. For the 12 months ended June 30, SGS generated about $390 million in revenue.
(Reporting by Andrea Hopkins in Toronto; Editing by Gerald E. McCormick and Lisa Von Ahn)
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