AB InBev sells can plants for $577m

02 July, 2009

US: Anheuser-Busch InBev has sold four metal beverage can  and lid plants to Ball for USD577 million.

As part of the purchase of AB InBev subsidiary Metal Container Corporation, Ball Corporation (MCC) will enter into a long-term agreement to continue to supply Anheuser-Busch InBev with metal beverage cans and lids from the divested plants.  Ball has committed, as part of the acquisition agreement, to offer employment to each active employee of the plants.

The divested can plants are located in Fort Atkinson, Wisconsin, Columbus, Ohio, and Rome, Georgia, and the divested lid plant is in Gainesville, Florida.  MCC’s remaining footprint, consisting of seven metal beverage can and lid-manufacturing plants, will be more focused on beer-can production and represents more than 60% of MCC’s current capacity. 

There are no plans or activities underway to sell the remaining plants. 

Carlos Brito, chief executive officer of Anheuser-Busch InBev, said: “The sale of this group of soft drinks-focused plants represents another step in our de-leveraging program, allowing us to rationalise capital while retaining those facilities that remain most relevant to our beer business. 

We have great respect for Ball Corporation and are pleased to have found a strategic buyer that shares our high opinion of these facilities and their employees.”