What is the total debt financing for the Sealed Air buyout?

Banks are preparing to sell approximately $7.9 billion in debt to finance the buyout of Sealed Air Corp.

What is the expected yield for the junk bonds in the Sealed Air deal?

The junk-bond offering for Sealed Air's buyout could yield about 7% to 7.25%.

Who is acquiring the packaging firm Sealed Air?

Clayton Dubilier & Rice (CD&R) agreed to buy Sealed Air in a deal valued at $6.2 billion.

Home / Business and Economy / Sealed Air Buyout Fuels $7.9B Debt Frenzy

Sealed Air Buyout Fuels $7.9B Debt Frenzy

30 Jan

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Summary

Banks preparing to sell $7.9 billion in debt for Sealed Air buyout.
Financing includes junk bonds yielding about 7% and leveraged loans.
CD&R's acquisition of Sealed Air valued at $6.2 billion.

Sealed Air Buyout Fuels $7.9B Debt Frenzy

Financing is being prepared for Clayton Dubilier & Rice's acquisition of Sealed Air Corp., with banks ready to sell around $7.9 billion in debt as early as February. This move aims to fund the buyout of the packaging firm, known for inventing Bubble Wrap, which was valued at $6.2 billion in November.

The debt package is substantial, featuring approximately $4.5 billion in leveraged loans and a significant junk-bond offering. These bonds are anticipated to offer investors a yield of about 7% to 7.25%. The financing is expected to be issued in both dollars and euros, reflecting broad market interest.

This anticipated deal is among the largest buyout financings underwritten recently and follows a robust start to 2026 for junk-rated acquisition debt sales. Investor appetite for such risky debt appears strong, as evidenced by an even larger $8.75 billion financing for a medical-device maker's buyout. A much larger $20 billion financing for a videogame maker's buyout is also anticipated.