Matthews international to sell sgk brand solutions

Matthews to sell sgk to a newly formed entity created by affiliates of sgs & co matthews to realize upfront consideration of $350 million and receive 40% interest in new entity initial enterprise value of new entity ~$900 million, representing adjusted ebitda multiple of 9x cash proceeds to be used for immediate debt repayment new entity projected to realize over $50 million of annual cost synergies pittsburgh, jan. 08, 2025 (globe newswire) -- matthews international corporation (nasdaq gsm: matw) (“matthews” or the “company”) and affiliates of sgs & co (“sgs”) have entered into a definitive agreement under which matthews will sell its interest in sgk brand solutions (“sgk”) to a newly formed entity created by affiliates of sgs, which will combine sgk and sgs. under the terms of the agreement, matthews will realize $350 million of total upfront consideration, which will include $250 million in cash at closing, $50 million of preferred equity in the new entity and the retention of approximately $50 million in trade receivables under the company's securitization program.
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