Verallia, a glass packaging producer for beverages and food products, has signed an agreement to acquire the Italian glass business of Vidrala for €230m.
Vidrala’s Italian subsidiary currently has one production site in Corsico near Milan, with two furnaces. With the acquisition, Verallia expects to increase its market share in Italy. The group will now run seven production facilities.
The enterprise value of the consideration for this transaction will be funded by external debt. The deal aligns with Verallia’s commitment to strengthen its glass container offering for the Italian food and beverage industry and make more investments in this strategic and expanding market.
Verallia CEO Patrice Lucas said: “This transaction is in line with our strategic plan and reflects our willingness to continue on our profitable growth path, including through targeted acquisitions, allowing us to complement our footprint in strategic geographies and improve our commercial and industrial presence in Italy.
“We continue to move forward with determination on any value creation opportunity, also for the benefit of our customers, whether through organic or external growth.”
The conclusion of the transaction is subject to permission from the Italian government and customary conditions precedent. The transaction is expected to be finalised by the group in the second and third quarters of 2024.
Verallia has over 10,000 employees and 34 glass production sites in 12 countries. The company provides innovative, customised and sustainable solutions to more than 10,000 businesses globally.
Vidrala’s Italian subsidiary managing director Marco Ravasi said: “Serving our customers is a priority, which is why I am delighted with this opportunity to continue the development of our activities in the Italian market and to integrate the Corsico production site, which complements our footprint in Italy.
“We plan to further improve the service to our customers with an even broader product range and continue to grow our business in Italy.” In November last year, Verallia Group unveiled its plans to buy five cullet (recycled glass) treatment centres of the Santaolalla Group.