Coveris realigns business into four strategic units

Global packaging manufacturer Coveris has announced it has restructured the business into four units: Americas, Rigid, EMEA, and UK Food & Consumer. The decision to realign its operations was taken in order to enhance how the company delivers service in response to changing market demands.

“Many of our global customers want to be served locally by partners who have deep, firsthand knowledge of their products and markets,” explained Dimitri Panayotopoulos, chairman and interim CEO of Coveris. “We believe this strategy creating leaner, more focused business units recognises this customer preference and will enable us to better meet their needs.”

As part of its go-forward strategy, Coveris is considering strategic alternatives for its Americas and Rigid packaging businesses after the realignment.

It will be turning to Goldman Sachs & Co and Wells Fargo Securities to advise on the Americas business, and Rothschild & Co will advise on the Rigid business in early 2018.

The review of strategic alternatives is not expected to impact its operations, commitment to customers or investment in the business. According to Coveris, it has sufficient liquidity to continue to operate and grow its business, with higher EBITDA predicted in the fourth quarter of 2017 over the previous year.

“With approximately $1 billion in revenues and a roster of longstanding customer relationships, the Americas business is well positioned for continued growth,” said Panayotopoulos. “Our Rigid business is likewise ready for the next step in its evolution.”