PE Deals

Sun sets on Sun European’s ownership of Allied Glass

Verallia Group, the third largest producer of glass packaging for beverages and food products globally, has agreed to buy the company.

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  • Allied Glass is a UK-based manufacturer of glass packaging containers for the spirits, good and drinks markets
  • The company specialises in shorter production runs for bespoke premium bottles
  • Sun European bought Allied Glass in December 2019 and expanded the company’s market share and profitability, growing EBITDA significantly according to Sun European

Sun European Partners announced on Wednesday it has signed a definitive agreement to sell Allied Glass to Verallia Group for a total enterprise value of £315 million ($362 million; €365 million). The sale of Allied is the first exit for Fund VII. Allied Glass is a UK-based manufacturer of glass packaging containers for the spirits, good and drinks markets headquartered in Leeds. The company specialises in shorter production runs for bespoke premium bottles which are manufactured to order.

Sun European bought Allied in December 2019. Sun enhanced the company’s value creation through product innovation, increasing recycled content in glass production bolstering its ESG profile. It also enhanced the company’s commercial and operational decision making and cost savings. These measures expanded the company’s market share and profitability, growing EBITDA according to Sun European.

“Before investing in the company, we identified several operational opportunities and have worked with management since 2019 to execute on those, including ESG-friendly product innovation, SKU reporting and a significant capex programme enhancing plant utilisation,” said Paul Daccus, managing director of Sun European Partners. “This sale has allowed us to achieve a very successful outcome for Allied Glass and our investors.”

Verallia Group is the third largest producer of glass packaging for beverages and food products globally according to Sun European. The company is headquartered in Paris.

Sun European is the European adviser to U.S.-based Sun Capital Partners. Based in London, Sun European invests across the business services, consumer, healthcare, industrial and technology sectors.