Sealed Air to buy Liquibox for $1.15 billion, also reports profit beat but sales miss

Sealed Air Corp. SEE, -0.29% announced Tuesday that it agreed to buy Liquibox, the maker of bag-in-box sustainable fluids and liquids packaging and dispensing products for $1.15 billion. The packaging company said the acquisition is “highly complementary” to its Cryovac Fluids & Liquids business, which is the fastest growing area of Sealed Air. The company expects cost synergies of $30 million a year after closing, and expects the deal to add to adjusted earnings per share by the second quarter after the deal closes. Separately, Sealed Air reported third-quarter net income that rose 24.6% from a year ago to $134.2 million, or 92 cents a share, while adjusted earnings per share of 98 cents beat the FactSet consensus of 90 cents. Sales slipped 0.4% to $1.40 billion, below the FactSet consensus of $1.45 billion. The stock, which was still inactive in the premarket, has tumbled 22.6% over the past three months while the S&P 500 SPX, -0.75% has lost 6.0%.