Rexam, the US-based global packaging provider, is to buy the Czech can making plant of German-based packaging company Schmalbach-Lubeca for £15.4 million (€24m), according to a report from dot.packaging.
The plant, in Ejpovice, near Prague, is the only beverage can making facility in the Czech Republic, and, as of 31 December 2000, had net operating assets of £15 million.
At the same time, Rexam is divesting two of its European beverage can making plants to S-L for a cash consideration of £52.4m. S-L was recently taken over by Australian packaging giant Amcor, and the rejig is seen as the first of a number of strategic moves which will focus the business operations.
The two plants, at Runcorn in the UK, and La Ciotat in France, are being sold as a result of Rexam's undertaking to divest three of its European beverage can making plants to meet the European Commission's directive following its purchase of American National Can this month.
Rolf Börjesson, chief executive, commented: "The sale of these two plants has been agreed within the time frame set by the EC. The negotiations regarding the divestment of the third plant in Gelsenkirchen, Germany, are continuing, and we anticipate being able to complete the sale within a period that will comply with EC requirements."