Glass half-full for Ardagh after €85m deal
Irish glass container manufacturer Ardagh has completed its €85m acquisition of a European aluminium container business from US-owned Exal Corporation.
Ardagh, which is controlled by Dublin financier Paul Coulson, said yesterday it had finalised the purchase of Exal's Boxal units in France and the Netherlands.
The transaction boosts Ardagh's presence in the aluminium container supply chain. The Boxal operations supply clients including L'Oreal, Coca-Cola, Procter & Gamble's Pantene and Unilever's Dove.
Part of the deal includes the acquisition of a small facility in Hungary.
Ardagh chief executive Niall Wall said he was pleased to have finalised the deal, saying the acquisition would "significantly enhance" Ardagh's position in the European aerosol market.
Ratings agency Moody's said last month that Ardagh Glass was poised to "fare better" than smaller rivals in the current tough economic environment. The company has a 30pc share of markets in the UK, Germany and Scandinavia and is one of Europe's biggest packaging firms.
In January, Ardagh raised over €300m in the United States via two bond issues. It said it hoped to use most of the proceeds to fund two potential acquisitions. Ardagh pulled a planned US flotation last year due to market turmoil.