Glass bottle maker Allied Glass has been sold to French firm Verallia, thought to be the world's third largest producer of glass containers.
The £315m deal was struck with Allied's owners, an affiliate of Sun European Partners LLP, and will help Verallia expand in northern Europe. Leeds-based Allied, which employs about 600 people, will integrate into the international group.
Verallia will finance the acquisition from existing cash and said Allied's expertise in producing whisky and gin bottles would boost its offer in the premium glass bottles market. The French multinational said it expected the acquisition to have a gradual positive impact on its adjusted EBITDA margin.
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Patrice Lucas, CEO of Verallia, said: "This acquisition of Allied Glass is fully in line with our strategy which is to accelerate our investments in key markets while leveraging our industrial, technological and management expertise to generate synergies. I am convinced that Verallia and Allied Glass have an outstanding fit as we share common vision and values. This is a great milestone too, as the group will be present on the UK market,
"I am confident that this combination will create sustainable value for customers, employees and shareholders. Finally, I am delighted to welcome Alan Henderson in the executive committee team of Verallia.”
Allied Glass, which turned over £137.6m in its 2021 financial year, has four furnaces in West Yorkshire and designs, develops and manufactures glass packaging for drinks brands. The firm can trace its roots back to 1874.
Alan Henderson, CEO of Allied Glass, added: "Integrating Allied into an international group, one of the main world leaders in glass manufacturing for food and beverage, is a thrilling challenge for Allied. Based on our respective strengths, the two companies will benefit from strong synergies.
"Whilst our customers in the UK market will continue to benefit from the same level of quality of service locally, we believe we can further improve our market offering through the support and knowledge of the wider Verallia group."
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