SCI partners with multiple firms for subsidiary recapitalization

Stone Canyon Industries, LLC (SCI), a global investment firm based in the United States has declared that it plans to recapitalize its subsidiary SCI Packaging – the parent company of Mauser and BWAY Corporation. For the record, the BWAY is a multinational plastic container firm based in the U.S., while the former is a leading supplier of rigid packaging items & services.

According to authentic sources, the deal encompasses the issuance of shares to its associates and shareholders against the collection of nearly USD 850 million. It is also inclusive of issuing series A non-voting perpetual shares for the firm’s associates, PSP (Public Sector Pension Investment) board, and numerous other shareholders of the firm. The issuance of series B type of non-voting convertible preferred shares is for both the affiliates of Ontario Teachers’ Pension Plan, Arcadia Investment Partners, and PSP Investments.

Sources have cited that the series B type shares are issued to those investors who have made minor equity investments in the SCI PH Inc., a subsidiary of Stone Canyon Industries LLC. The key officials of the latter have stated that the earnings collected from the share offerings will be utilized for corporate purposes such as dispensing the earnings to current equity shareholders. One of the key executives of BWAY, the globally reputed manufacturer of rigid metals, hybrid containers & plastics, has stated that the firm’s collaboration with Ontario Teachers’, Arcadia, PSP investments, and Canyon is expected to make it a dominant player across the rigid packaging industry.

Experts have claimed that the strategic move will lead to the development of the world’s biggest rigid packaging firm that is certain to emerge as a rather remunerative firm. Industry analysts are of the view that the decision will help in the creation of more employment opportunities, while simultaneously benefiting the company in terms of consolidating its stance globally.