The sale will allow Exal to focus on resources on its existing can making facilities in North and South America as well as on recent merger announcement
Exal, a US-based aluminium containers producer, has divested its Argentinian filling business, Exal Packaging, to Argentine manufacturer and supplier of personal and home care products Queruclor Group.
The sale is a part of the firm’s efforts to focus on resources on its existing can making facilities in North and South America.
Exal to focus on core business and recent merger announcement
Exal said that the move will also allow it to focus on the recent merger announcement with Ardagh Group to form new metal packaging producer Trivium Packaging.
As part of the £1.9bn deal, Ardagh has agreed to spin off its Food & Specialty Metal Packaging business and merge it with Exal.
Exal CEO Michael Mapes said: “In light of our recent merger announcement, the sale of Exal Packaging SA, Exal’s only filling business, makes perfect sense as it will allow Trivium to focus on its core metal packaging business.
“We are pleased to sell the business to Queruclor, a company with a solid reputation in Argentina.”
Exal’s parent, the Ontario Teachers’ Pension Plan will have a 57% controlling stake in Trivium, while the remaining 43% stake will be held by Ardagh.
The Trivium transaction, however, is subject to regulatory approval. It is planned for completion in the fourth quarter of 2019.
Queruclor president Walter Lopez said: “A number of years ago, we selected Exal Packaging S.A. as our contract filler for our Personal Care division due to their years of experience in filling personal care products for multinational and local brands, having filled more than 2.5 billion aerosols.
“With the acquisition of Exal Packaging SA, we will continue operations, providing filling and formulation services, and also maintaining the high manufacturing and quality standards that Exal Packaging has been known for over the years.
“This also provides an opportunity to continue our business relationship with Exal as a can supplier, expanding our market in South America and providing our current and future customers premium filling services, for them to offer the best products in the local and international markets.”
Exal provides premium aluminium packaging for brands across markets including beverage, beauty and personal care, home care, pharmaceutical, and food.