Owens-Illinois has acquired the Vitro food and beverage glass container business from Vitro in a transaction valued at approximately US$2.15 billion.
Vitro is the largest supplier of glass containers in Mexico and manufactures glass containers across multiple end uses, including food, soft drinks, beer, wine and spirits.
The transaction includes Vitro’s five food and beverage glass container plants in Mexico, a plant in Bolivia and the food and beverage business of Vitro Packaging, its North American distribution business based in Plano, Texas, which together employ nearly 6,000 people.
The transaction provides O-I with a competitive position in the attractive glass segment of the packaging market in Mexico, further enhancing O-I’s position as the world’s foremost glass container producer.
O-I expects the transaction to be accretive to earnings and cash flow in the first year.
It anticipates that in the third year after closing, earnings per share accretion will reach approximately US$0.50 per share.
