Amcor reiterates interest in Alcan Packaging

By Guy Montague-Jones

- Last updated on GMT

Related tags Alcan packaging Rio tinto group

Amcor has reiterated its interest in Alcan Packaging but says that any acquisition will be limited to its “nominated growth segments.”

The Australian packaging company announced earlier in the month that it was in talks with Rio Tinto regarding the potential purchase of “part but not all”​ of the Alcan Packaging business.

Rio Tinto has been looking to find a buyer for Alcan Packaging since acquiring the wider Alcan Group in 2007 for $38bn. Now after sitting on the shelf for over a year, it appears likely that Rio will have to sell the business in bits.

Talks are ongoing

Answering a stock exchange query, Amcor admitted on February 6 that the company was in talks with Rio Tinto but that these discussions were “confidential and incomplete in nature”​ and that there can be no assurance that any binding proposal or transaction will occur.

In a financial statement published today, Amcor CEO Ken MacKenzie confirmed that the company was talking to Rio and defined the criteria for any purchase of Alcan Packaging assets.

Defining areas of interest

Mackenzie said: “Any acquisition will be in our nominated growth segments of flexibles, tobacco packaging, custom PET or select segments in Australasia. It should also enhance our value proposition to customers and improve our cost position through operating synergies.”

Amcor did not reveal to whether the Australian company was interested in the beauty segment of Alcan Packaging, which accounts for around 15 percent of sales revenue.

Amcor spokesperson Shelley Steele did say that food and beverage, healthcare and tobacco are the main industries it serves although she described personal care as a “growing sector”​ for the company.

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