RUSSIA – Ball Corporation, the world’s leading provider of innovative, sustainable aluminum packaging, has announced the completion of the sale of its beverage packaging business in Russia to Arnest Group for US$530 million.
Dan Fisher, president, and CEO of Ball Corporation said: “This decision is the result of many months of consideration, delivering a solution that best secures the future of Ball’s colleagues and assets in Russia. We believe this is a sound outcome for Ball in these geo-political circumstances.”
Ball Cooperation said the closing of this transaction is not subject to any conditions, all required approvals have been obtained and this sale is not expected to impact its businesses outside of Russia.
The purchaser, Arnest Group, is the largest manufacturer of perfume, cosmetic, and household products in aerosol packaging in Russia, and Ball’s Aluminum Aerosol division has had the opportunity to work with the world-class team at Arnest in the past.
Ball Corporation supplies innovative, sustainable aluminum packaging solutions for beverage, personal care, and household products for customers, as well as aerospace and other technologies and services primarily for the U.S. government.
Ball Corporation and its subsidiaries employ 24,300 people worldwide and reported 2021 net sales of US$13.8 billion.
Additionally, the packaging maker noted that microeconomic factors that might affect its packaging segments include footprint adjustments and other manufacturing changes including the startup of new facilities and lines; competitive packaging, pricing, and substitution.
Business Wire projects the global metal packaging market which was valued at US$108.8 billion in 2020 to reach US$147.4 billion by 2030, growing at a CAGR of 3.1% from 2020 to 2030.
According to the market analysis firm, the growing food and beverage industry is currently one of the key drivers of market growth.
This anticipated growth is further catalyzed by growing consumer awareness of the various health benefits of storing organic produce in metal-based packaging products.
In addition, the advent of resalable and customizable cans that offer enhanced functionality and storage capacity, which are have also aesthetically pleasing designs, creates a positive outlook for market growth, Business Wire notes.
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