Speculation over the future of the glass operations of Amcor Ltd. is growing, according to an Australian press report. In April 2007, Amcor Ltd chief executive Ken MacKenzie will outline the final pha…
Speculation over the future of the glass operations of Amcor Ltd. is growing, according to an Australian press report. In April 2007, Amcor Ltd chief executive Ken MacKenzie will outline the final phase of a AUD 1 billion-plus asset sale and restructuring program and put the finishing touches to plans for the packaging giant, it was reported in The Australian, without citing sources. The report said the company may be broken up after it decided to sell its polyethylene terephthalate (PET) packaging business in Europe with at least two private equity players enlisting consultancies to look into the business. Based on expected earnings of AUD 50 million in 2007, The Australian said the European PET business could sell for at least AUD 600 million. The paper said there is also growing speculation that Amcor will try and sell some of its Australian businesses, including its metal cans and glass operations. In February 2007, Amcor said a strategic review has concluded that the PET packaging business in Europe will be sold, and the flexibles operations in Europe will be restructured. The full details of both moves are set to be announced in April 2007.