Australian packaging company Amcor has reached an agreement to acquire tobacco packaging operations of Brazilian company Souza Cruz in a deal worth R$96m ($30m).
The move comes as part of Amcor's strategy to grow its packaging business in Latin America. The acquisition covers Souza Cruz's internal tobacco packaging operations located in Cachoeirinha, Rio Grande do Sul.
Amcor CEO and managing director Ken MacKenzie said: "This acquisition is aligned with our strategic objective of growing our packaging business in Latin America.
"It represents an excellent opportunity to support an important global customer by extending access to Amcor's global innovation platforms and strong operational capabilities."
The acquisition is expected to be completed after receiving approval from the Brazilian Anti-Trust Authority.
The deal includes a long-term supply contract between Amcor and Souza Cruz and is expected to achieve annual sales of approximately R$200m ($63m).
In March, Amcor acquired South African flexible packaging manufacturer Nampak Flexibles for R250m ($22m).
In December last year, Amcor agreed to acquire Chinese flexible packaging business Zhongshan Tian Cai Packaging for CNY211m ($34.04m).
Last October, Amcor's subsidiary Amcor Flexibles Asia Pacific announced plans to build a multi-million-dollar flexible packaging plant in the Philippines that is expected to become operational in 2016.
Operating through Rigid Plastics and Flexibles segments, Amcor provides packaging solutions in Australia, Europe, Latin America, Switzerland and the US. It employs nearly 27,200 people at more than 180 sites across 43 countries.
The company's Rigid Plastics segment manufactures containers from various materials for a range of beverage and food products, while Flexibles segment manufactures flexible and film packaging.