Packaging M&A Update

RESOURCE HIGHLIGHTS

• In Q1, the Dow Jones Containers & Packaging Index decreased by 4.2%, but outperformed a 4.4% drop in the S&P 500 over the same period.
• The median EV/EBITDA multiple for reported strategic deals in the Packaging sector decreased to 8.3x in Q1 from 9.0x in 2024, and the median EV/Revenue multiple for strategic buyers decreased to 1.1x from 1.3x over the same period.
• M&A deal volume in the sector decreased 10.1% in Q1 to 62 deals from 69 in Q4 2024, but increased 12.7% from 55 in Q1 of the prior year.
• As a % of total capital invested in M&A transactions, PE participation decreased significantly in Q1 to 3.5% from 14.3% in 2024.
• Europe was the most active region in Q1 with 29 deals. Most notably in Europe was International Paper’s $9.9 billion acquisition of DS Smith, a UK-based manufacturer of packaging products made from recycled paper materials, in January 2025.