Crown Packaging Ltd. completed the sales of all its Canadian divisions and one of its US subsidiaries in March and April, 2001. These sales generated proceeds of approximately $165 million and are part of Crown Packaging’s divestiture plan in order to repay its creditors. To date, Crown Packaging has completed four separate sale transactions with the purchasers including Port Townsend Paper Coporation, Norampec Inc. Paperboard Industries Inc. of the Cascades Group, and Allpak Holdings, Inc.
Representing Crown Packaging was a team from Lang Michener’s Vancouver office led by Steve Mathiesen and including David Ross and Rubina Jamal, with assistance from John Morrison (secured creditors), Tony Knight (leasing), Francois Tougas (competition), Rick Bennett (tax) and Peter Botz (tax). The Lang Michener team worked closely with Crown Packaging’s executive team which included Philip D. Seligman, General Counsel.
Certain of Crown’s bondholders were represented by Ted Waksman of Weil Gotshal & Manges’ New York office. Crown Packaging’s credit facility lender, ABN AMRO Bank Canada was represented by David Zacks of Fraser Milner Casgrain’s Vancouver office. Port Townsend Paper Corporation was represented by a team from Perkins Coie’s Seattle office headed by Gail Runnfeldt with assistance from Al Smith (financing) and Ryan McFarland (financing), and a team from Gowling Lafleur Henderson’s Vancouver office headed by Phillip Marshall with assistance from Al Smith (financing) and Ryan McFarland (financing), and a team from Gowling Lafleur Henderson’s Vancouver office headed by Phillip Marshall with assistance from Barry Dong (employment and pension), James Bond (commercial and intellectual property), and Jeff Goldenthal (financing) of Gowlings’ Toronto office.
Representing Norampac Inc. and Paperbound Industries Inc. were Robert F. Hall, General Counsel for Cascades, the parent company, Brigitte Dufour, General Counsel for Norampac, and Miranda Melfi, General Counsel for Paperboard. The were assisted by a team from Fraser Milner Casgrain including Charles R. Spector and Neil Katz of the Montreal office, and Gordon Funt and Tony Wong of the Vancouver office, and Richard Epstein (competition) of Donaghue Ernst & Young’s Montreal office.
In the sale of Crown’s US subsidiary, Allpak Container Inc., assistance was provided by Crown’s US counsel, Pete Peterson of Peterson Russell, Bellevue, Washington and acting for the purchaser was Jon Schorr of Carney Badley Smith & Spellman, Seattle, Washington.