Glass container manufacturer Ardagh Group has completed the sale of six former Anchor Glass plants to Glass Container Acquisition, an affiliate of KPS Capital Partners. The sale also includes certain related assets of Ardagh Group.
Ardagh acquired Anchor Glass Container in the US in a deal worth $880m in August 2012. When the deal was announced in July 2012, Ardagh said it would raise $920m equivalent of debt financing through the issue of $700m equivalent of senior secured notes due 2017 and $220m senior notes due 2020.
The net proceeds from the issuance and sale of the notes were used by Ardagh to pay the purchase price for the acquisition and to substantially refinance all of Anchor's existing indebtedness.
Anchor manufactures glass containers for the North American food and drinks industries. It produces around 5.6 billion containers from its eight facilities and has annual revenues of approximately $800m.
Ardagh's North America Glass Division previously acquired Verallia North America on 11 April. With the divestment to KPS, the division is expected to generate annual revenues of approximately $2bn from 16 glass manufacturing facilities.
Image: Ardagh sells six former Anchor Glass plants to KPS. Photo: courtesy of nuchylee / FreeDigitalPhotos.net.