Constellation Brands has completed the previously announced acquisition of a glass plant and associated warehouse in Nava, Mexico, from Belgian brewing company Anheuser-Busch InBev, in a $300m deal.

The company has also formed a joint-venture (JV) with Owens-Illinois (O-I) to own and operate the new glass container plant.

O-I will also oversee plant operations, including purchasing, technical services and plant expansion.

Constellation Brands president and CEO Rob Sands said: "The acquisition of the glass plant and the formation of the JV play a significant role in our long-term glass sourcing strategy for our beer business.

"This strategy gives us greater control over our glass needs in terms of quality, flexibility and cost-effectiveness.

"We look forward to working with O-I and the employees at the glass plant to continue to provide high-quality glass for Constellation’s growing beer business.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
"O-I will also oversee plant operations, including purchasing, technical services and plant expansion."

"We are also very excited to be investing in the facility, which will likely bring new opportunities to the employees and the Nava community."

In addition, Constellation plans to expand glass production capacity at the Nava brewery from one furnace to four furnaces over the next four years.

Following the expansion, the facility will be capable of supplying more than 50% of glass packaging needs for Constellation’s US beer business.

The number of employees working at the plant is expected to increase from 260 to nearly 800.

Image: Constellation Brands headquarters in New York, US. Photo: courtesy of DanielPenfield / Wikipedia.