O-I to Acquire Mexico-Based Nueva Fàbrica Nacional de Vidrio
The plant currently has four furnaces to produce and supply approximately 300,000 tons of glass containers annually for Grupo Modelo brands, which include Corona, Modelo Especial, and Pacifico.
Owens-Illinois, Inc. (O-I) recently announced that it has entered into a definitive agreement to acquire Nueva Fàbrica Nacional de Vidrio, S. de R.L. de C.V. (Nueva Fanal) from Grupo Modelo, a wholly owned affiliate of Anheuser-Busch InBev SA/NV. The Nueva Fanal facility is located near Mexico City, Mexico. The plant currently has four furnaces to produce and supply approximately 300,000 tons of glass containers annually for Grupo Modelo brands, which include Corona, Modelo Especial, and Pacifico.
The acquisition is a cash transaction valued at approximately $188 million, subject to customary closing conditions, including competition authority approval, and is expected to close during 2019. O-I expects the business to contribute approximately $140 million of revenue on an annual basis. Incremental synergies are anticipated. O-I will also reportedly enter into a long-term glass supply agreement to continue to supply Grupo Modelo.
“The acquisition of Nueva Fanal reflects O-I’s strategy to invest in the growth of sustainable glass packaging by partnering with our customers to help enable their growth in premium brands, such as Corona, one of the most popular and fastest-growing beer brands globally,” said Andres Lopez, CEO. “This investment is in addition to our recently announced nearly 50% acquisition of Empresas Comegua S.A. and our plans to expand our Gironcourt, France, glass plant.”
For more information, visit www.o-i.com.