Banks are preparing a roughly $7.15 billion debt offering to help finance Clayton Dubilier & Rice's buyout of packaging company Sealed Air Corp. The debt financing will support CD&R's acquisition of the food packaging and hygiene solutions provider, which has been under private equity ownership since last year's $7.15 billion leveraged buyout.

This debt offering represents a significant capital markets event for the packaging industry. The $7.15 billion financing package will likely include multiple tranches of leveraged loans and high-yield bonds to fund the acquisition and provide working capital for Sealed Air's operations. Banks are targeting next week for the debt launch, according to sources familiar with the matter.

Sealed Air, known for brands like Bubble Wrap and Cryovac, continues to operate as a standalone business under CD&R ownership. The debt offering will help refinance existing obligations and provide additional liquidity for the company's ongoing operations and potential growth initiatives.