Acquisition

12 Months Ended

Dec. 31, 2019

Business Combinations [Abstract]

Acquisition

ACQUISITION

DISPENSING SYSTEMS ACQUISITION

On April 6, 2017, we acquired the specialty closures and dispensing systems operations of WestRock Company, now operating under the name Silgan Dispensing Systems, or SDS. SDS is a leading global supplier of highly engineered triggers, pumps, sprayers and dispensing closure solutions for health care, garden, personal care, home, beauty and food products.

We acquired SDS for a purchase price in cash of $1,023.8 million, net of cash acquired. We funded the purchase price for this acquisition through term and revolving loan borrowings under our amended and restated senior secured credit facility. We applied the acquisition method of accounting and recognized assets acquired and liabilities assumed at fair value as of the acquisition date. For this acquisition, we recognized goodwill of $511.0 million, a customer relationship intangible asset of $220.0 million and a technology know-how intangible asset of $25.0 million. SDS’s results of operations have been included in our closures segment since the acquisition date.