DS Smith Signs Binding Share Purchase Deal With Carlyle Group

14th Jul 2010 07:41

LONDON (Dow Jones)--DS Smith Plc (SMDS.LN), a corrugated and plastic packaging, and paper supplier, announced Wednesday that it has entered into a binding share purchase agreement regarding the acquisition of the entire interest controlled by The Carlyle Group in Otor S.A.. MAIN FACTS: -The price offered by DS Smith is EUR8.97 per Otor share (equivalent to EUR198,845,094.24 for the 22,167,792 existing Otor shares). -The acquisition agreement is conditional, inter alia, upon obtaining the approval of DS Smith shareholders at a general meeting and relevant antitrust clearances having been received. -This transaction will involve directly and indirectly, the sale of 94.75% of the share capital of Otor held by Carlyle as well as shares held by management. -This will allow DS Smith to control more than 95% of the shares and voting rights of the company. -Following the transaction, DS Smith intends to file a mandatory offer for all the Otor shares held by the public in accordance with the applicable regulatory provisions. -This offer will be made in the form of a simplified offer followed by a mandatory squeeze out. -It is expected that the transaction, including the Minority Offer, will complete in the fourth quarter of 2010. -Shares closed Tuesday at 137 pence. -By Zechariah Hemans, Dow Jones Newswires; 44-20-7842-9411; [email protected] (END) Dow Jones Newswires July 14, 2010 02:41 ET (06:41 GMT)