Santa Monica, California-based Stone Canyon Industries LLC agreed to acquire BWAY Corp. from Beverly hills-based Platinum Equity for $2.4 billion. BWAY is a North American manufacturer of rigid metal and plastic containers used to package industrial, bulk food and retail goods.

The sale is subject to regulatory approval and customary closing conditions, and is expected to close in August 2016. The company expects to keep its existing debt instruments in place.

Platinum Equity acquired BWAY in 2012. In January 2013 BWAY acquired Ropak, a complementary producer of rigid plastic containers.

BWAY has annual sales exceeding $1 billion and approximately 3,000 employees, the company says.

“BWAY is a world class company with a great leadership team, dedicated employees and a very bright future,” said Jim Fordyce, co-CEO of Stone Canyon Industries.

“BWAY’s success is a testament to strong collaboration with Ken Roessler and his management team and the value of truly integrating M&A with operations at every level of the investment,” said Platinum Equity partner Louis Samson. “The company is well positioned for continued success going forward.”

“We have had a great partnership with Platinum Equity and we are proud of everything our teams have accomplished together,” said BWAY CEO Ken Roessler. “Today we have a fundamentally sound business with great momentum, and we are poised for continued growth and long-term profitability as we transition to Stone Canyon’s ownership.”

Goldman, Sachs & Co. is serving as financial advisor to Platinum Equity and Latham and Watkins is serving as Platinum Equity’s legal counsel. BMO Capital Markets is serving as financial advisor to Stone Canyon Industries and Gibson, Dunn & Crutcher is serving as its legal counsel.

Stone Canyon Industries is a global industrial holding company with subsidiaries involved in consumer & retail, food & ingredients, industrial, technology & business services and transportation. Founded in 2014, the company focuses on acquiring market-leading companies with strong management teams in highly defensible industries around the world.

Platinum Equity is a global private equity firm with a portfolio of approximately 25 operating companies. The firm specializes in acquiring and operating companies in a broad range of business markets, including manufacturing, distribution, transportation and logistics, equipment rental, metals services, media and entertainment, technology, telecommunications and other industries. Over the past 20 years, Platinum Equity has completed more than 175 acquisitions. The firm was founded in 1995 by billionaire Tom Gores, owner of the NBA’s Detroit Pistons.

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