Pactiv Corp. (NYSE:PTV), maker of Hefty garbage bags, said Tuesday that it will be acquired by food and beverage packaging company Reynolds Group Holdings Ltd. for $6 billion.

The deal calls for Pactiv shareholders to receive $33.25 a share in cash, representing a premium of approximately 39% over Pactiv’s closing price of $23.97 on May 14, the last trading day prior to published reports regarding a potential transaction.

Pactiv’s board of directors unanimously approved the agreement and has recommended shareholders do the same, as its completion is subject to their approval.

“We are proud of what we have accomplished, and we are excited to join with Reynolds’ consumer and foodservice businesses to grow and add more capabilities for our customers,” Pactiv CEO Richard L. Wambold said.

Reynolds, a wholly owned subsidiary of New Zealand-based Rank Group Ltd., and maker of Reynolds Wrap aluminum foil, has obtained committed financing for the transaction that consists of combination of equity from its parent company as well as committed debt financing by certain affiliates.

“Pactiv is a clear leader in its markets as a result of its broad product line and unique distribution system,” said Rank Group owner Graeme Hart. “I am excited about the opportunity to grow Pactiv’s foodservice and Hefty consumer businesses and to be associated with the people who have made it such a successful company over the years.”