KPS Capital Partners’ success with Anchor Glass Container stemmed from a combination of actions, led by KPS and company management. The moves helped the bottle maker boost EBITDA nearly 59 percent in less than three years, said Jay Bernstein, a partner at KPS.
The New York buyout shop acquired Anchor Glass, which makes glass packaging products used by the liquor, beverage and food sectors, as a carve-out from Ardagh Group in 2014. The deal was valued at $435 million. KPS, along with its LPs, invested $140 million equity.
The PE firm’s buy of Anchor Glass surprised some. The company had filed for bankruptcy three times in the past 20 or so years. Anchor Glass’s last trip through Chapter 11 came in 2005, when it was owned by Cerberus Capital Management.
The glass sector began losing market share to plastic packagers in the 1990s, Bernstein said. Read the full report here.