Owens-Illinois to spend $2.15B buying food and beverage container business of Vitro
Beer and wine bottle maker Owens-Illinois is paying about $2.15 billion to buy the food and beverage glass container business of the Mexican company Vitro.
Owens-Illinois Inc. says the all-cash deal will bolster its stake in Mexico's packaging market and begin helping its earnings by the first year after it closes.
The Perrysburg, Ohio, company said Vitro SAB de CV is the largest glass container supplier in Mexico. Owens-Illinois will not be acquiring the company's chemical and drug or flat glass business, which makes windshields and windows.
The boards of both companies have approved the deal, but Vitro shareholders still need to vote on it. Owens-Illinois expects the deal to close within a year.
The company's stock is climbing in premarket trading.