Aluminium can manufacturer GZ Industries intends to set up a new manufacturing facility worth nearly $71m in South Africa.
The Nigerian firm has formed a joint venture (JV) with local firm Golden Era Group for developing the facility, reports Daily Times.
Termed as Gayatri GZI Beverage Cans, the JV is expected to construct and commission the plant by the second quarter of 2016.
Once operational, the facility is expected to have an annual production capacity for around 1.2 billion cans.
GZ Industries CEO Motti Goldmintz was quoted by Bloomberg as saying: "This partnership with Golden Era accelerates our access to new markets across southern Africa, and consolidates our ongoing expansion efforts.
"Upon completion of the plant, GZI will have the capacity to manufacture in excess of 3.5 billion aluminium beverage cans every year."
The firm intends to deliver manufactured cans from the facility to customers across other countries in the southern parts of Africa.
The Nigerian company’s increasing portfolio is likely to strengthen its competition with rival South African beverage can maker Nampak, as the latter is also expanding its capacity with new production facilities in Nigeria and Ethiopia.
GZ Industries will also turn another new facility operational in Nairobi, Kenya, next year.
Image: GZ Industries’ new facility is expected to have an annual production capacity of 1.2 billion cans. Photo: courtesy of tigger11th / freedigitalphotos.net.