Background
- Founded in 1972 in Malaysia, Premier Centre Group (PCG) has grown from a rigid plastic packaging company to a contract manufacturing of home care and personal care OEM (original equipment manufacturing) business
- After Advantage Partners (AP) funds acquired a majority stake in PCG in 2018, they worked with the management of PCG to improve product quality, upgrade its production facility to achieve capacity expansion and higher efficiency, and develop ODM (original design manufacturing) business
- Through these efforts, PCG has expanded its OEM and ODM businesses of home care and personal care products in Malaysia and the regional markets
- AP is a mid-market private equity fund focussed on investing in Japan and Asia. Funds served by AP have invested in more than 100 companies, representing a total invested capital of $5 billion across a wide range of industries and sectors
- Founded in 1917 in Japan, Toyo Seikan Group Holdings, Ltd (Toyo Seikan), is one of the largest comprehensive packaging solution providers
Process
- DC Advisory acted as the exclusive financial advisor to AP, the shareholder of PCG
- DC Advisory conducted a competitive process with a number of regional and global trade and financial buyers, who were carefully screened and pre-qualified for their interest and potential fit with PCG
- DC Advisory provided comprehensive M&A advisory services, including process management and tactics, anticipating potential deal challenges and close support in negotiation and transaction documentation
Outcome
- On 29 February 2024, the Board of Directors of Toyo Seikan announced the resolution to acquire 100% equity interest in PCG
- The acquisition is in line with Toyo Seikan’s Mid-Term Management Plan 2025, to expand its value chain in the areas of filling and packaging particularly in Southeast Asia
- The transaction closed on 2 August 2024 after the fulfilment of customary closing conditions, board approvals and regulatory approvals
- This transaction further demonstrates DC Advisory’s extensive global network and strong track record of providing comprehensive and tailored cross-border advice to its clients
