Berry Global Group (NYSE:BERY) Enters Into Amendment and Waivers in Connection with Ongoing Transactions

On October 21, 2024, Berry Global Group, Inc. (Berry) announced in an 8-K filing with the Securities and Exchange Commission (SEC) that certain definitive agreements with Glatfelter Corporation are being actively advanced. Berry has entered into the Amendment in connection with a series of transactions. These transactions involve the spin-off of Berry’s global nonwovens and hygiene films business to a subsidiary known as Spinco, and subsequent merger with a subsidiary of Glatfelter.

The ongoing transactions, including the spin-off and merger processes, are part of the larger strategic initiatives between Berry and Glatfelter. As part of these agreements, on October 21, 2024, Berry, Glatfelter, and Spinco waived in writing the conditions related to a private letter ruling from the IRS regarding the intended tax treatment of the Transactions. Additionally, they waived conditions related to the delivery of opinions from tax counsel, although the agreements still provide for the delivery of tax opinions at the closing of the Transactions concerning the tax-free distribution to Berry stockholders.

An amendment was also made to the Tax Matters Agreement on the same date by Glatfelter, Berry, and Spinco. This amendment incorporated changes to adjust for the waivers and clarify respective liabilities for Transaction taxes and related issues. In conjunction with these updates, Spinco filed an amendment to its Registration Statement on Form 10, providing supplementary details in connection with the ongoing Transactions.

While these developments signify significant progress in the planned transactions between Berry and Glatfelter, it is essential to note that this summary does not encompass all details and is supplemented by the full text of the Amendment and Supplement, which are filed as Exhibit 10.1 and Exhibit 99.1, respectively, to the Current Report on Form 8-K submitted by Berry Global Group to the SEC.

Investors and stakeholders are advised to remain vigilant in their observations given the complex nature of the ongoing transactions and are encouraged to refer to the complete set of files lodged with the SEC for a thorough understanding of the implications and the evolving situation concerning Berry Global Group and Glatfelter Corporation.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Berry Global Group’s 8K filing here.

About Berry Global Group

Berry Global Group, Inc manufactures and supplies non-woven, flexible, and rigid products in consumer and industrial end markets in the United States, Canada, Europe, and internationally. The company operates through Consumer Packaging International; Consumer Packaging North America; Engineered Materials; and Health, Hygiene & Specialties segments.