Ardagh Glass expecting bids for beer bottle unit
Anchor Glass division likely to be sold to assuage US antitrust concerns
Ardagh has been working with Citigroup to sell the majority of its US bottle-to-jam jar division Anchor Glass, which it bought for $892 million in 2012
Ardagh Glass is expecting to receive bids for its Budweiser beer bottle-making unit this week in a deal that would allay antitrust concerns about the group’s proposed expansion in the US, according to people familiar with the matter.
Ardagh has been working with Citigroup to sell the majority of its US bottle-to-jam jar division Anchor Glass, which it bought for $892 million in 2012. The process, which has attracted interest from private equity and strategic suitors, is at an early stage and will not necessarily result in a deal.
A value for Anchor’s six factories could not be ascertained. The division had earnings before interest, tax, depreciation and amortisation of $103 million in the 12 months to September.
Ardagh is facing objections from the Federal Trade Commission over its proposed $1.7 billion takeover of French rival Saint-Gobain’s US subsidiary. Any disposal of its US assets would be aimed at assuaging concerns over antitrust issues.
The company, headed Paul Coulson, last month repaid $1.5bn of bonds that it had planned to use for deal finance.
He holds a 36 per cent stake in the company, which also has a large metals division and posted revenue of €4.1 billion in the 12 months to the end of September. – (Copyright The Financial Times Limited 2014)