O-I Glass’ Australia and New Zealand business unit provides glass bottles and containers for the customers in the region
O-I Glass’ Australia and New Zealand business unit manufactures glass bottles and containers. (Credit: O-I Glass, Inc)
Packaging and resource recovery company Visy Industries has completed the acquisition of Australia and New Zealand (ANZ) business unit from O-I Glass in a deal valued at around A$733m ($523m).
Last month, both firms agreed to complete the divestment of the O-I ANZ business unit in two separate transactions.
O-I also concluded a sale-leaseback agreement with Charter Hall for certain properties, which are valued at around A$214m ($152.8m). Gross proceeds on the sale, along with sale-leaseback agreement, is approximated to be A$947m ($677m).
O-I Glass aims to use the net proceeds from the deal to reduce its debt
O-I Glass has secured 95% of proceeds at the time of deal closing, while it will receive the remaining amount within one year of the closing of the deal without conditions precedent. The company intends to use the net proceeds from the deal to reduce its debt.
O-I ANZ is involved in the manufacturing of glass bottles and containers for customers in Australia and New Zealand.
Based in Melbourne, the business unit operates five manufacturing facilities in Adelaide, Brisbane, Melbourne, Sydney and Auckland.
In December 2019, O-I Glass completed corporate modernisation and adopted a new holding company structure to improve the operating efficiency and cost structure.
All stockholders of Owens-Illinois (O-I) became stockholders of O-I Glass, following the completion of corporate modernisation.
O-I Glass, which is based in Perrysburg of Ohio, offers glass solutions to food and beverage brands.
With over 25,500 employees, the company operates 72 plants in 20 countries across the globe.