KEY POINTS:
Swiss packaging company SIG - which Graeme Hart now looks almost certain to take over for $3.3 billion - will give the Auckland based billionaire a ready-made international packaging empire.
Hart's weekend coup - which saw him raise his offer price and reveal he had already secured a
22 per cent stake in the company - was enough to scare off rival bidder FERD.
The Norwegian company - which had partnered with British private equity company CVC - effectively conceded defeat yesterday, saying it would not raise its bid and had begun selling its SIG shares.
That clears the way for Hart, though technical issues still need to be worked through.
SIG's board of directors are expected to deliver their verdict on the Hart bid within eight days. Any chance that another bidder may emerge - there were rumours last week that a third bidder was looking over the company - will have diminished now that Hart's Rank Group is the largest shareholder.
Although based in Switzerland, SIG has production facilities in Germany, Austria, China and Saudi Arabia as well as plans for a factory in Brazil. It also has a sales office in the US.
It produces mostly aseptic packaging - which is cartons and packets for long-life drinks.
Hart is one of the biggest players in the Australasian packaging sector with his Carter Holt Harvey assets and also owns US paper and packaging operations which were also purchased from Carter Holt's former parent company International Paper.
Those businesses are largely focused on the fresh beverage segment of the packaging industry.
Rank Group has indicated that it will continue to let SIG run as an independent unit under current management. SIG has sales revenue of $2.5 billion and made a net profit of $125 million in 2006.
That compares to Carter Holt's revenue of $1.83 billion - of which packaging is just one division.
In a presentation to investors last year SIG management highlighted the company's strong presence in fast-growing markets such as Eastern Europe, the US, Southeast Asia and the Middle East. It also pinpointed China and South America as markets that would drive future growth.
Hart has shifted his business focus from food and beverages to packaging over the past two years.
The sale of Burns Philp and the float of Goodman Fielder left Hart cashed up to the tune of about $3 billion.
He has been unafraid of heavily leveraging companies and backing his management team to ensure they deliver growth to cover those debts.
The wide geographic spread of his empire will also provide Rank Group with a hedge against regional economic downturns.
Global empire
* The takeover of SIG will deliver factories in Germany, Austria, China and Saudi Arabia.
* SIG also has a sales division in the United States and has plans for a factory in Brazil.
* Graeme Hart already has packaging operations in the US, Australia and New Zealand after his acquisition of Carter Holt Harvey.
* The addition of SIG will give his total assets annual sales revenue of more than $4.3 billion.
