NEW YORK (CNNMoney.com) -- Pactiv Corp.'s stock jumped 5% Tuesday after the maker of Hefty trash and sandwich bags said Reynolds Group Holding would acquire it for $6 billion.
Pactiv shareholders will receive $33.25 in cash for each share of common stock. That's a 39% premium over Pactiv's closing price of $23.97 on May 14, the last trading day before reports were published about a potential deal.
The acquisition should close by the end of 2010.
Pactiv (PTV) shares climbed 5.5% to $32.62 in early trading.
Pactiv said its board of directors unanimously approved the deal and will recommend that common shareholders do the same. Shareholders will have a special meeting after the company files a statement with the Securities and Exchange Commission.
Reynolds Group Holding is a wholly owned unit of New Zealand-based Rank Group Ltd. 
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