Further to the Glassonline World News report last December, Owens-Illinois, Inc. of the United States announced on 3 February that it had completed the acquisition of a controlling interest in Avir Sp…
Further to the Glassonline World News report last December, Owens-Illinois, Inc. of the United States announced on 3 February that it had completed the acquisition of a controlling interest in Avir SpA., the largest manufacturer of glass containers in Italy. Avir is also the largest glass container manufacturer in the Czech Republic and the fourth largest in Spain. Its major customers are producers of wine, beer, and food. At the end of January, the US group concluded the acquisition of the entire share capital of Orion, which holds 52.6% of the Avir holding company Avirfin. Owens-Illinois used its Italian subsidiary Owens-Illinois Italia for the purchase. Based on Avir“s historical performance, the entire deal is expected to increase Owens-Illinois“ annual sales by about US$ 600 million and make a positive contribution to earnings in 1997. With the addition of Avir, Owens-Illinois“ international operations are expected to contribute about 40% of the company“s total sales, up from 28% in 1995 and just 18% in 1991. Owens-Illinois claims to be the largest manufacturer of glass containers in the United States, North America, South America, and India and is now the second-largest in Europe. In addition to the new acquisitions, Owens-Illinois has European affiliates in the United Kingdom, Poland, Hungary, Finland, and Estonia. As announced on 16 December, Owens-Illinois“ controlling interest results from its acquisition of Avir shares controlled by Dr. Natale Maderna, retired Avir chairman, and members of the Maderna and Ricciardi families. In addition to acquiring the privately-held shares, Owens-Illinois will also initiate a tender offer for the 21% of the shares that are publicly held. Total consideration for 100% of the Avir shares is expected to be approximately US$ 580 million and will be financed initially by bank borrowing.