News

Rexam is selling its entire glass business to Ardagh Glass, the owner of Rockware, for £449m, subject to competition authority approval in Germany and Poland.

In 2006, beverage can and plastic packaging manufacturer Rexam reported 8% sales growth in its glass division without any increase in profit.

Rexam sold its UK glass business to Ardagh for £50m in 2005.

Rexam chief executive Leslie Van de Walle (pictured) said: “Rexam glass is a strong, well-run operation and will fit well with Ardagh.”

Tim Rothwell, packaging specialist at Lansdowne Capital, said: “Both Rexam and Ardagh are focusing where their talents lie.”
Rexam has valued its glass operations, located mainly in northern Europe, at £372m, including goodwill. In the short term, it will use the proceeds from the sale to reduce borrowing.