The US-based company said the deal would broaden its portfolio and make it global leader in sanitization for a host of sectors including food and beverage manufacturers.
Sealed Air said it expected the acquisition to be completed in 2011 and that its new asset would begin making money for the company in the first full year after the takeover.
Under the terms of the buyout, Diversey shareholders will receive $2.1 billion in cash and more than 31 million Sealed Air shares – approximately 15 per cent of the company – worth $2.9bn.
Diversey, headquartered in Wisconsin, provides cleaning, sanitization and hygiene solutions to a host of industrial and retail players in the food and beverage, food service, health care, and lodging sectors, as well as to building service contractors worldwide.
The buyout will create a global giant with combined sales topping $7bn and a workforce of 26,000. In 2010, Diversey sales reached $3.1bn across more than 60 countries, while Sealed Air operates in 52 countries and generated net sales of $4.5bn.
"This transaction represents a strategic growth opportunity that leverages Sealed Air's core competencies and positions our company to further capitalise on the mega trends that drive both businesses," said William V. Hickey, president and CEO of Sealed Air. "With Diversey, we will expand our footprint beyond specialty packaging solutions by gaining entry into a $40+ billion chemical cleaning and hygiene industry that has attractive fundamentals and is already in our value chain.”